Poland is seeking to avoid a looming power shortage by forcing the nation’s biggest utility to build a $3.7 billion coal plant its chief executive officer says will be unprofitable after prices fell to a five-year low.
Tauron Polska Energia SA may be valued at about 12 billion zloty ($3.6 billion) as Poland plans to sell a majority stake in its second-largest power group in an initial public offering in Warsaw, Bank Zachodni WBK SA said.
KGHM Polska Miedz SA, the Poland- based copper producer with the largest European mine output, said it’s “verifying” its full-year earning forecasts after second-quarter profit fell 56 percent on copper prices.
Jastrzebska Spolka Weglowa SA said first-quarter profit jumped fourfold as the European Union’s largest coking coal producer benefits from rising prices before its Warsaw share sale, planned for next month.
Deutsche Telekom AG , which agreed to sell its T-Mobile USA wireless unit for $39 billion in March, may acquire fixed-line assets in European markets such as Poland to help stem customer defections in the region.
Tauron Polska Energia SA, Poland’s second-largest utility, plans to cut 3,180 jobs and save 864 million zloty ($280 million) through 2015 after electricity prices slumped on the country’s economic slowdown.