Rafako brokered an agreement with Polimex Mostostal and a fund from the PFR TFI group. Without the investors, the company is facing bankruptcy.
Rafako said in an official release that the reason for the severance was an impasse in the investor process. Rafako’s CEO Radosław Domagalski-Łabędzki fears the investor process could have been a sham, leading first to the completion of work on the Jaworzno unit and then to Rafako’s bankruptcy. The unsuccessful negotiations with JSW Koks, owned by Jastrzębska Spółka Węglowa, could also have contributed to the decision to terminate the deal.
The signing of an annex to the agreement with JSW was one of the conditions for Polimex and PFR’s investment in Rafako. Rafako’s bank guarantee on the Radlin construction contract will expire at the end of January. No bank will extend it unless Rafako signs an annexe with JSW Koks. If this happens, Rafako will be preparing for bankruptcy. It will also stop work on the Jaworzno unit. However, the Company’s Management Board assures that it is ready to take decisive action to protect the Company. Further talks with PRF and Tauron are also on the table.