PBG Chief Executive Wisniewski Steps Down After Bankruptcy
PBG SA (PBG) Chief Executive Officer Jerzy Wisniewski and Chief Financial Officer Przemyslaw Szkudlarczyk stepped down after the Polish builder was declared bankrupt.
Wisniewski, who founded the company with his wife in 1994, and Szkudlarczyk will join PBG’s supervisory board, the company’s shareholders decided at today’s meeting in Warsaw. The board may appoint their replacements as early as tomorrow, Szkudlarczyk said in an interview.
PBG, which specialized in oil and gas engineering, ventured out of its core business to bid on arena and motorway deals after Poland was selected to co-host the Euro 2012 soccer championship, only to see its debt swell on falling margins. The company built three of the country’s four stadiums for the tournament that ends on July 1.
The builder is looking for “the quickest way” to sell assets that are not related to its main activities, including investments in real estate, Szkudlarczyk told shareholders. PBG is also talking with a potential strategic investor as it seeks to resolve its dispute with banks, Wisniewski said.
“The management is convinced that the company’s operations will continue,” Szkudlarczyk said. “The option of obtaining an investor is still a possibility.”
PBG’s 1.5 billion zloty ($435 million) of debt includes 825 million zloty in bonds making it the biggest corporate zloty bond bankruptcy, according to data compiled by Bloomberg. Its shares fell 92 percent this year valuing the company at 83.3 million zloty.
After Poland won the right to host the European championships in 2007, PBG’s market value hit a record 5.8 billion zloty, the data shows.
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