Bargaining over KBP 100.

In the last issue of Eurobuild we looked into the circumstances surrounding KBP 100. Because some new evidence has come to light and we would like to clarify some of the points raised in last month's issue, we are addressing the subject once more.

KBP, KBP-1 and KBP 100.
Although the 14 hectare plot, on which KBP 100 stands in Zabierzów, has been owned by Kraków Business Park for almost 5 years, the latter is not its direct investor. The building belongs to KBP-1 whose shareholders are KBP (over 50%) and PIA Piasecki Inwestycje (approximately 40%). "PPI recently had to relinquish some its shares," says Stanisław Lewak.
PPI have been trying to find a buyer for their shares in KBP-1 for several months now, as its owner, Kredyt Service, (a subsidiary of Kredyt Bank), is trying to replenish its investment portfolio.

Who can do what?
KBP's  Director of Business Development, Stanisław Lewak has said that, under company statutes, no shareholder is entitled to sell shares without the consent of their co-owners; "it is required that  a general meeting of KBP 1's shareholders give their formal consent", he says. Michał Kubicki, however, claims that company statutes give the right of pre-emptive purchase to any co-shareholder who accepts the price negotiated with a potential buyer.
PPI refused to let us in on who they were conducting negotiations with, simply stating that in the next few weeks they might be signing an agreement. Could it be that the prospective buyer is KBP itself? Neither Mr. Kubicki nor Mr. Lewak would comment.

How much is PLN 6.6 mln worth?
PPI's nominal share is worth PLN 6.6 mln and, although Mr. Lewak refused to disclose its real value, it seems that it could be sold for more.  We do not know whether PPI has any other obligations towards KBP-1; we do know for a fact, however, that if a company owns around 40% of a building, the stake will amount to more than PLN 6.6 mln.

Second turn for Regus
The price of the building is determined first and foremost by the quantity and quality of the signed leasing contracts. By the end of this year, The Polished Group, part of Prokom Software, will begin a 10 year lease of 4,000 sqm on two floors of KBP 100. There might also be another contract for another 1250 sqm signed in the near future.
Last Spring it was officially announced that Regus Business Centre was going to move into KBP 100 but nothing came of it in the end. Mr. Lewak claims that "one of the KBP's co-owners did not give their consent", and adds that "it was not KBP.  I would very much like to see Regus among our tenants".
Mr. Kubicki comments, "I know nothing about any plans for a deal with Regus in Spring".