The Alwernia works, part of the Ciech chemicals empire, is in serious financial difficulties. State owned Ciech bought the works only two years ago and now wants to sell it.
Last year the works noted a loss of PLN3.9m but worse than this are the consequences of what it produces. World demand for chromium is falling as it is considered to be cancerous.
Alwernia also produces phosphorous products and this is profitable. They are used in the cosmetics, chemicals, food and textile industries.
Management of Ciech wants to continue chrome production but it does not want to develop it further. Alwernia employs 160 people in its chromium production unit.
Alwernia could be linked to the Wizów chemical works and this is a strategy being considered by Ludwik Klinkosz, MD of Ciech as a way of reinforcing phosphorous production. Enterprise Investors, which has a thirty percent stake in Wizów, could also be interested in Alwernia.
Alwernia and Wizów are the only Polish producers of phosphorous elements and therefore amalgamating them makes sense. The competition and mergers watchdog, Urząd Ochrony Konkurencji i Kosumentów, may take a different view.