The Industrial Union of Donbas will be able to take over the control of Częstochowa Steelworks a part of the Silesia Financial Association. The Ukrainian concern has been also granted the right to purchase from State Treasury twelve companies making up the Częstochowa Ironworks capital group

On 30 June 2005 the Industrial Union of Donbas applied to UOKiK for consent to take over 100 percent shares of the Częstochowa Steelworks Ltd. from the Silesia Financial Association. It also applied for consent to purchase from the State Treasury a selection of twelve subsidiary companies of the Częstochowa IronworksLtd.

In relation to the fact that the total turnover of the undertakings participating in the transaction exceeded the amount of EUR 50 million, the concentration had to be reported and was subject to an opinion by the competition protection authority.

Upon conducting an antitrust proceeding, the President of UOKiK decided that the transaction shall not have a negative impact on competition, and in particular shall not lead to establishment or strengthening of a dominant position. Moreover - according to the Office - this concentration may have a positive impact on the development of the Polish steel industry, because of the investment program, which the Donbas Group is planning to implement in the companies it shall take over.

Additional Information:
Elżbieta Anders, Spokesperson of UOKiK
Department of International Relations and Communication
Office of Competition and Consumer Protection
Pl. Powstańców Warszawy 1, 00-950 Warsaw
Tel. 22 827 28 92, 55 60 106, 55 60 314
E-mail: [SCODE]ZWFuZGVyc0B1b2tpay5nb3YucGw=[ECODE]