ISD seeks ownership of Polish shipyard

ISD seeks ownership of Polish shipyard

ISD Polska, whose majority owner is the Ukrainian Donbas, has placed a binding offer to purchase newly offered shares of the Gdansk Shipyard (SG) for 400 million zloty. ISD Polska also wants to buy out the rest of the Gdansk Shipyard?s shares, whose owners now include the Industrial Development Agency (ARP), Gdynia Shipyard and FTE Cenzin.

If the ARP and the companies agree to sell, the Ukrainians could own 100% of Gdansk Shipyard. According to a spokesman from the yard, ISD Polska wants to buy the shares for more than their face value, which means an expenditure of at least 125 million zloty and that the Ukrainian offer includes a “very favourable” social package for the staff. The Ukrainians also announced that they are not planning to scale down the shipyard?s productivity, which is demanded by the European Commission.

The EC has demanded that Gdansk close two of its three slipways in a move to cut costs and increase profitability. The Polish government and the current shipyard owners have argued that only one slipway should be closed. The EC has threatened to take back aid it gave Gdansk if it does not comply with its wishes.

ISD Polska disagrees with the EU on the cutbacks and is ready to repay the public aid, which, according to the management of the shipyard, amounted to 36 million zloty. The European Commission on the other hand, estimates that it amounted to around 190 million. The cut-off date for privatization offers for Gdansk Shipyard is 7 November.