Bloomberg the Company & Products

Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Communications

Industry Products

Media Services

Follow Us

KGHM Advances as Erste Advises Accumulate Polish Copper Miner

Dec. 19 (Bloomberg) -- KGHM Polska Miedz SA, Poland’s sole copper producer, rose to the highest in almost 1 1/2 years after Erste Group Bank AG gave an accumulate recommendation on the stock.

The shares rose as much as 1.1 percent and traded 0.8 percent up at 194.1 zloty as of 11:08 a.m. in Warsaw, the highest since July 2011, valuing the Lubin, Poland-based company at 38.8 billion zloty ($12.7 billion). Erste set its target price at 210 zloty per share.

KGHM completed Poland’s biggest foreign purchase by buying Canada’s Quadra FNX Mining Ltd for $2.9 billion in cash in March. In October, the company increased its 2012 profit forecast 25 percent to 4.74 billion zloty.

“KGHM became a multinational company, which, in our opinion, deserves a fair comparison versus its closest international peers,” Michal Zasadzki, a Warsaw-based analyst at Erste, said in a note to investors. “KGHM is traded with a 14 percent discount” to peers, he said.

To contact the reporters on this story: Piotr Bujnicki in Warsaw at pbujnicki@bloomberg.net; Marta Waldoch in Warsaw at mwaldoch@bloomberg.net

To contact the editor responsible for this story: Wojciech Moskwa at wmoskwa@bloomberg.net

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.