Kety’s CEO, Dariusz Manko, quoted by the daily Parkiet, stated that he hopes that acquisition in Germany could be finalized in 1Q07. However, he said that the German party is not very enthusiastic in the negotiations process. The target is an advanced aluminium profiles processor. According to Dariusz Manko, also Polish state treasury came back to the process of Metalplast Zlotow privatization.
Our view: We believe that, although CEO’s statement is not very encouraging, it should have a positive trading impact as it is the first time that any timeline indication is given regarding any new acquisition. Kety has been flagging for some time already that is aiming at two acquisitions in Germany, a market with particularly high entry barriers, including an advanced aluminium profiles processor and aluminium profiles distributor. As acquisition plans have not been precise they are not included in our financial forecasts for Kety.