Polish electric car maker to get PLN 250 mln in state takeover
Poland doesn’t have its own car brand, but it aims to change that by producing a national electric car called Izera. The project has been put back several times, but the planned injection of state funds aims to ensure stability and completion as soon as possible.
ElectroMobility Poland to receive PLN 250 million from national fund
ElectroMobility Poland, the country’s new and only electric car maker with the prototype for an electric car under the brand name Izera, will receive a PLN 250 mln investment from the state-run Re-privatization Fund (Fundusz Reprywatyzacji), which will become the majority shareholder – according to a story in Business Insider. The company was created in 2016 by four state-owned energy companies with a 25% stake each: PGE Polska Grupa Energetyczna SA, Energa SA, Enea SA and Tauron Polska Energia SA, with a total share capital of PLN 70 mln. By the end of 2020, PLN 53 mln was spent on early preparations, most importantly the two prototypes, design, logo and initial marketing – all of which were unveiled in the summer of 2020. According to Piotr Zaremba, the chairman of EMP, the state takeover is to secure the project’s stability. The initial shareholders will remain as minority shareholders.
EMP announced that the payment to the company’s account will take place soon after the approval of the share capital increase at the general meeting of shareholders, as well as after changes to the National Court Register. Unofficially, it is expected this autumn.
“The preparatory stage, which includes the investment agreement, is scheduled for eight months. The amount of funds allocated to this stage reflects the scope and scale of the challenges we face and the dynamics of work that must be performed in the near future,” said Zaremba, according to Business Insider.
The funds will mainly be used for seeking and commencing a relationship with a supplier of technology platform, the continuation of engineering works, and preparations to build an Izera factory planned in Jaworzyn, Upper Silesia. The production of the first polish electric car has been announced for December 2024. The original release date for the car was advertised as 2018, with “a short production series” in 2019, but was subsequently pushed back several times.
“(Poland is) the largest European state that has no car brand of its own,” said Małgorzata Królak, Director of the Project Office of EMP. “This is an opportunity to create a Polish specialization based on our own solutions which can compete with other players on the global market.”
Echo Investment sells 3rd part of Browary Warszawskie to Deka Immobilien
Malthouse Offices, the biggest office building of the Browary Warszawskie commercial & residential mixed-use scheme in central Warsaw (Warsaw Brewery complex), as well as the historic Malthouse, were acquired by Deka Immobilien, an international investment and asset manager, for approximately EUR 152.3 million. “The transaction is yet another proof that multifunctional, urban destination projects are now more than ever in great demand,” said a company spokesperson.
Warsaw Brewery, a flagship destination project of mixed-use developer Echo Investment, restored a significant part of the city to residents of the Polish capital city. Apart from its residential and food and beverage functions, the Warsaw Brewery complex encompasses three office buildings, where the first two – Gatehouse Offices and Villa Offices – were already sold by Echo Investment, Gatehouse Offices to GLL Real Estate Partners in 2018 for c. EUR 76.5 mln, and Villa Offices to independent investment and asset manager KGAL Group earlier this year for c. EUR 86.7 mln.
Malthouse Offices consists of a 7-floor office building, the historic Malthouse, the Central Garden and the historical cellars. The property, completed in September 2020, comprises GLA 29,600 sqm and two levels of underground parking with 180 parking places.
The office is leased to tenants such as Grupa Żywiec, Allen & Overy, MDDP, Point72 and Playtika. Its ground floor is occupied by several restaurants and a gym and the underground part is connected to the historic cellars.
Allen & Overy and Baker McKenzie advised the seller, while JLL, Dentons and TPA Poland acted as the buyers’ advisors on the deal.
New Fintech bank Aion opens in Poland
The creator of Alior Bank, Wojciech Sobieraj has opened a new fintech bank Aion in Poland. According to leading Polish daily media platform Gazeta Wyborcza, it’s not a regular bank but one where customers pay a monthly subscription in the style of Netflix. “Aion Bank was created based on observation of today’s finances and the changing needs of digital users,” states the bank’s website. “We use the best of traditional financial institutions, combined with ease of use and latest technologies. The result is a permanently changed relationship between the bank and its customers.”
Karol Sadaj, who was previously with Uber, Revolut and Google, and is now president of Aion in Poland, says that the bank aims to attract customers with significant deposits and will serve as a platform for global investments and cheap, automatic currency conversions. The bank offers three subscriptions, starting with a free service which charges only a small fee for ordering the bank card.
Residential developer Murapol to enter Warsaw Stock Exchange
Polish residential developer Murapol has filed a prospectus with the Polish Financial Supervision Authority (KNF) to start the process towards listing on the Warsaw Stock Exchange.
“Over the last three years we have made fundamental changes to our financing structure, replacing previously fragmented sources of financing with a structured syndicated loan,” said President Nikodem Iskra. “Also, our financial reporting systems meet the highest market standards. (Listing on the stock exchange) is a natural step for a company with a scale of activity like ours, and it will also support its further dynamic development.”
According to the company, Murapol is active in the broadest and most flexible sectors of the residential real estate market – the popular (affordable) and popular premium (affordable premium). The company is active in 16 cities, including Warsaw, Bydgoszcz, Kraków, Katowice, Łódź, Poznań, Toruń, TriCity and Wrocław.
In 2018-2020, Murapol sold a total of 8,639 units to customers, with 3700 apartments sold in 2019 and 2720 in 2020. Revenues from sales increased from PLN 603.1 mln in 2018 to PLN 836.2 mln in 2020, demonstrating an average annual increase (CAGR) of 17.7%. In the same period, the gross margin on sales increased from PLN 139.1 mln in 2018 to PLN 217.4 mln in 2020. The owners of Murapol are Griffin Real Estate and Ares Management, which jointly bought a 98.04% stake in February 2020.
German chamber sees Poland as Berlin’s ‘stability anchor’
Poland is the fifth largest trade partner of Germany and the Berlin Chamber of Commerce and Industry sees it as a “stability anchor” for the capital’s economy during a pandemic, according to Berliner Zeitung, as quoted by PAP, the Polish Press Agency. “The value of Polish-German trade in 2020 amounted to approximately EUR 123 billion, which is almost three times more than Russian-German trade and has increased astronomically from the equivalent of only EUR 4 billion in 1990,” wrote the German capital’s daily newspaper. According to the Berlin Chamber of Commerce and Industry, quoted by the newspaper, Poland has turned out to be a “stability anchor” for the Berlin economy during the pandemic crisis in 2020, with Berlin’s exports increasing by 15% to EUR 794 million. Berlin exported more only to China, France and the USA. In terms of imports to Berlin, Poland was behind China in 2021 with a volume of EUR 2.1 billion, ahead of Italy, the Netherlands, France and the USA, 16% more than in 2019 and by a huge 332% more than in 2004.
“Polish-German trade relations gained momentum in 2004 with Poland’s accession to the EU, and ties between the two countries strengthened. Paradoxically, another impulse came with the financial crisis of 2008,” writes the newspaper. “Poland hardly suffered from it. The Germans saw this and their companies were looking for a safe place to invest. They found Poland much better than south-eastern Europe” said Prof. Dr. Sebastian Płóciennik from the Polish Institute of International Cooperation in Warsaw.