Pivotol Polkomtel/Zygmunt Solorz-Zak leveraged buyout wins award
The largest LBO from any part of Europe since before the financial crisis secures a Euromoney Deals of the Year 2011 award
Of all the emerging regions, Central and Eastern Europe suffered the most for the sins of its allegedly more advanced neighbours last year. As the eurozone’s troubles escalated, fear of contagion sent investors running for cover and all but the strongest names found themselves shut or priced out of the global capital markets.
Against this backdrop, the few transactions that did make it through look all the more impressive – and none more so than the leveraged buyout of Polish mobile operator Polkomtel by local entrepreneur Zygmunt Solorz-Zak.
Not only was it the only M&A deal of any size to come out of the region – barring the Kremlin-sponsored consolidation in Russia’s potash sector that brought together Silvinit and Uralkali – but, at Z18.1 billion ($5.4 billion), it was also the largest LBO from any part of Europe since before the financial crisis.
Simon Meldrum, director of CEEMEA loan syndicate at RBS, says: