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WARSAW — Poland’s major armament and military equipment manufacturers will be consolidated into a single entity in a bid to restructure and overhaul the country’s defense industry, Prime Minister Donald Tusk announced today.
“The Polish Armaments Group, which will comprise all key companies active in the Polish defense industry, is currently being established,” Tusk said during a visit to local armored vehicle producer Wojskowe Zaklady Mechaniczne Siemianowice, reported Polish news agency PAP.
Under the plan, the new group will integrate major state-owned defense manufacturers such as Huta Stalowa Wola, Wojskowe Zaklady Remontowo-Produkcyjne, which comprises 11 state-owned defense companies, and the Polish Defense Holding (PHO) into one group.
PHO, which is Poland’s largest defense industry player, consists of some 40 entities and has a workforce of close to 10,000. Until May, PHO operated under the brand of Bumar Group, and it rebranded itself to lead the consolidation efforts of Poland’s fragmented defense industry, according to statements by senior company representatives. That expected consolidation did not occur, Tusk said, and PHO will be integrated into the new defense group.
The Polish Ministry of Treasury had originally planned to launch the holding’s initial public offering on the Warsaw Stock Exchange in 2015, but it is unclear how the latest developments will affect these plans.