B.C.L. Trading of Austria will sue Komercni banka for CZK 15 bil. in damages, though the details of the suit are not clear. Komercni banka lost CZK 8 bil. in 1999 related to this former client (a Czech police inquiry has not brought any results thus far), and KB’s recent attempt to have B.C.L. Trading declared bankrupt in an Austrian court failed. KB says that the four short-listed bidders in KB’s privatization are familiar with the case and that B.C.L.’s latest move should not complicate KB’s sale. The suit may make some investors nervous, though we consider a major negative impact on the stock today unlikely. Friday, May 11, is the deadline for binding bids.
(Ondřej Daťka)