The Polish Development Fund invested in PESA Bydgoszcz
Polski Fundusz Rozwoju S.A. and PESA Bydgoszcz S.A. signed an investment agreement under which PFR will be involved in financing the largest manufacturer in the railway industry in Poland. The purpose of PFR is to take control of PESA, and then to strengthen and further develop the company, in particular its export potential on European markets. The Fund1 managed by PFR, will ultimately invest PLN 300 million in the company, acquiring nearly 100% of the company’s shares.
– The railway industry plays a special role in the so-called Morawiecki’s plan. The PFR investment in PESA Bydgoszcz is an important step in the development of this sector. We are convinced that this investment will bring positive social and economic effects to Poland – said Paweł Borys, President of the Management Board of the Polish Development Fund. – Our strategic goal is to further consolidate the railway sector, both in Poland and abroad, in order to build a significant industrial group on the global market, and then gain a private partner – added Paweł Borys.
In 2017 PFR was invited by PESA and its stockholders to the transaction process involving the acquisition and increase of shares in PESA. The company’s stockholders chose the PFR offer, and then in March 2018 an initial agreement for the purchase of its shares was concluded. The transaction was approved by UOKiK [en. Office for Competition and Consumer Protection].
– We have been cooperating with PESA for 2 years, creating a joint company offering rolling stock leasing, which is why we are convinced that the industrial and managerial potential of the company gives prospects of its long-term development in Poland and on international markets. Our plan is to strengthen PESA as a leader on the domestic market and further development of export. In a competitive process, we won with foreign industry bidders who, like us, recognized the value and potential of PESA. It also confirms that PFR is perceived as a credible and desirable investment partner – said Marcin Piasecki, Vice President of the PFR Management Board for investment.
The investment in PESA Bydgoszcz entails a change in the company’s market strategy. PESA plans to optimize production by improving management and quality control standards, as well as producing longer series. It will selectively choose new contracts. The new strategy assumes intensification of development on foreign markets, such as: Italy, Germany, Czech Republic and Romania. Diversification of product offer in the area of tram and rail rolling stock as well as service is also planned.
– PESA is a company with over 160 years of tradition. The last 20 years has been the company transformation from ZNTK [en. Rail Rolling Stock Repair Workshops] into a modern manufacturer of rail vehicles. Thanks to the effort and competences of the company’s employees, we have managed to gain a strong position on the domestic market as well as successfully compete on the European market. Now, PESA needs a new opening with a financially strong investor, able to ensure further development of the company. It is an important day and I am convinced that both we, current stockholders, as well as employees can look calmly into the future. – said Zygfryd Żurawski, President of Pesa Holding, the stockholders’ representative.
– The last months are the company’s restructuring, activities aimed at acquiring an investor and financing. During such a difficult process, the most important thing is to show that it is worth investing in a company, that employees are able to mobilize and confirm the ability to change, execute contracts, improve quality and achieve better financial results. Despite the difficult financial situation, we were able to execute contracts. Among other things, it was possible to obtain approval for DB vehicles, and the first Links already carry passengers on the German network. I am convinced that PESA is a good investment – said Krzysztof Sędzikowski, President of the Management Board of PESA Bydgoszcz SA.