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Polcolorit runs into delays in Ukraine


2007-10-23

The GPW-listed tile producer Polcolorit, has shelved its plans to take over a company in Ukraine for the foreseeable future. The acquisition, which Polcolorit had been eyeing for some time, ran into difficulties after the parties failed to agree over the value of the Ukrainian firm.
The name of the company that Polcolorit is interested in buying (in exchange for its own shares) was to have been revealed in September. Initially Korostenska Porcelana was reported to be the target company, but recently Polcorolit suggested that it was actually involved in talks with another Ukranian firm. Unfortunately, the price it is willing to pay for the company has become a bone of contention. The target company’s owner has rejected the Poles' offer price, which was calculated on the basis of a due diligence, without so far submitting a counter offer.


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