Polish Briefing 15 November, 2021 8:00 am   

Polish Briefing: No decision on the Orlen-Lotos merger yet | Czechs’ latest offer on Turów


What goes on in Poland on the 15th of November.

No decision on the the Orlen-Lotos merger yet

The president of PKN Orlen, Daniel Obajtek, announced on Twitter that the merger of PKN Orlen with Grupa Lotos will be carried out by the first half of 2022, but the deadline for the implementation of remedial measures set by the European Commission will be postponed to January 14 next year. The company explains the reasons for this decision.

“Due to the necessity to complete negotiations and finalize the contractual provisions, the deadline for the implementation of remedial measures for the merger of PKN Orlen and Grupa Lotos was extended until January 14, 2022. The decision does not affect the date of completion of the process, planned for the first half of 2022,” said the president of PKN Orlen, Daniel Obajtek on Twitter.

“PKN Orlen is finalizing contracts with partners for the implementation of remedial conditions, which will guarantee further business development of the companies covered by the proceedings. At the same time, activities are carried out to prepare both companies for the merger process. The complexity of the process, in a very demanding macroeconomic environment, requires additional time to negotiate with partners in order to obtain the best possible transaction conditions and to enable corporate decisions to be made also on the part of the partners. The European Commission has postponed the implementation of the remedial until January 14, 2022. The formal completion of the merger process of PKN Orlen and Lotos will take place in accordance with the schedule in the first half of 2022,” he explained.

“Our goal is to select business partners who will guarantee energy security and dynamic development of the connected companies. We are at the last stage leading to the signing of contracts with partners. The extended deadline agreed with the European Commission for the submission of documents related to the implementation of remedial conditions gives us the comfort of completing all the necessary formalities. We are going to make good use of this time. The priority is to conduct the transaction in such a way that it is beneficial for the Polish economy, both companies and their clients as well as shareholders who believe in the business and the success of this strategic project. This is confirmed by, among others, conditional consent to the merger by the EGMS of Lotos,” Obajtek added in the statement.

The Ministry of Climate received a proposal for the content of one of the disputed articles on Turów from the Czechs

The Polish side received from the Czechs a proposal for the content of one of the disputed articles on Turów. “We are analyzing it and we will talk about it with our Czech partners in the coming days,” said the spokesman of the Ministry of Climate and Environment, Aleksander Brzózka.

The spokesman emphasized that at this point he would not like to talk about the details of these solutions. “We agreed with the Czech government that at this stage of the talks we will talk directly with each other and not through the media,” he explained.

On Monday, Brzózka informed the Polish Press Agency that the Czech side was working on its proposal for the disputed article of the contract on the Turów mine and a response to our proposal.