The highlanders want civic shareholding in PKL. They fear losing control

The considered stock exchange debut of Polskie Koleje Linowe could lead to the loss of control over the strategic infrastructure of the region – warned the mayor of Zakopane after the Tatra County convention, which proposes an alternative recapitalization of the company with the participation of local governments and civic shareholders.

On Tuesday, the Tatra County convention was held in Biały Dunajec. Local government officials from Podhale opposed the plans of the Polish Development Fund (PFR), the owner of PKL, regarding the company's possible entry to the Stock Exchange. PKL belongs to, among others: cable car to Kasprowy Wierch.

According to local government officials the government may not be aware of the negative consequences of such a solution; meeting participants invited the Prime Minister to the region to learn about the local perspective.

After the convention meeting, local government officials unanimously emphasized that they do not oppose the development of PKLbut in the form of its financing through the sale of shares. In their opinion, the company's stock exchange debut could lead to the loss of control over infrastructure of strategic importance for the region.

Fears of losing control and bad memories

The mayor of Zakopane pointed out that stock exchange plans arouse strong emotions in Podhale.

We are against PKL entering the stock exchange, but we are absolutely not against the company's development. We would like this company, which has its roots in Podhale, to develop as best as possible. However, we have the impression that although PFR is open to talks, we do not know whether the government is fully aware of the consequences that may arise from selling this company through the stock exchange – said Filipowicz.

As he added, the public reception of such plans would be “very negative”, because the region still has vivid memories of the sale of PKL during the PO-PSL government 12 years ago. The mayor also invited the Prime Minister to Podhale so that – as he emphasized – “he could see the problem from the local perspective”: – Not to block development, but to present alternative, safe solutions, accepted by local governments and residents – he emphasized.

Citizen shareholding instead of the stock exchange

The mayor of the Kościelisko commune, Roman Krupa, announced that local government officials will send a letter to the board of the Lesser Poland Voivodeship, Marshal Łukasz Smółka and the voivodeship assembly.

– On the one hand, we express our opposition to PKL's plans to enter the stock exchange, and on the other hand, we are sending a signal that we want to prepare, together with the Marshal, another proposal for recapitalization of this company – he said. Krupa estimated that a prosperous company like PKL should not be financed through the stock exchange. He did not rule out the participation of local governments and the voivodeship in recapitalization of the company, as well as considering the form of citizen shareholding: – We want to end the discussion about the sale of PKL once and for all and ensure that there will be no further steps in the future leading to the loss of control over the company – he added.

PFR reassures: We will retain the controlling stake

In a statement sent to PAP, the Polish Development Fund emphasized that it is in constant dialogue with municipalities and is analyzing various options for further development of PKL. One of them – as noted – is the possibility of introducing the company to the Stock Exchange in order to obtain capital for expansion.

PFR assured that in each scenario considered, it intends to maintain a controlling interestwhich is to guarantee ownership stability and exclude the privatization of the company. The fund also indicated the potential benefits of making PKL public, such as increased investment, new jobs and increased recognition of the region.

The dispute over PFR's plans refers to the events of 2013, when Polskie Koleje Linowe, then owned by the PKP SA Group, was sold to Polskie Koleje Górskie, established by four local governments of Podhale. The capital for the purchase – PLN 215 million – was provided by the Mid Europa Partners fund, which took over 99.77 percent. PKL shares.

The transaction caused widespread political and social controversy at the time. Particular emotions aroused the fact that part of the PKL infrastructure at Kasprowy Wierch was built on land expropriated for public purposes.

In 2018, the Polish Development Fund purchased PKL shares. Currently, PKL members include, among others: cable cars to Kasprowy Wierch, Gubałówka and Butorowy Wierch in Zakopane and ski resorts in Krynica-Zdrój, Szczawnica, Zawoja and Międzybrodzie Żywiecki. (PAP)

(we plan to continue the topic)

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