Cyfrowy Polsat removes owner Solorz's son from supervisory board (updated)

Cyfrowy Polsat SA

08/10/2024 14:16

(Adds background and detail, paragraphs 2-8)
       WARSAW, Oct 8 (Reuters) - Shareholders in Polish
telecommunications and media group  Cyfrowy Polsat  CPS.WA 
voted to dismiss the son of billionaire owner Zygmunt Solorz
from the supervisory board on Tuesday, heating up a family
conflict that has its sent shares tumbling.
    Investors are concerned about how power over the empire -
spreading from media and telecoms to energy and the financial
sector - is exercised. 
    Shareholders dismissed Solorz's son, Tobias, and the
billionaire's former main adviser on ​​ownership supervision,
Jaroslaw Grzesiak, from the supervisory board. Solorz controls
the majority of Cyfrowy's shares. 
    Cyfrowy's shares are down about 13% since the Gazeta
Wyborcza daily newspaper reported last month that his children
had sent letters to the management of his four companies, in
which they expressed concern about his welfare and told them to
be careful when accepting orders from people who have recently
acquired power in his businesses.
    According to the daily, the letter came against the backdrop
of conflict between the three children and Solorz's wife.
    In response, Solorz said he would remove his children from
the companies' boards, deeming them disruptive to stability and
future growth.     
    On Monday two of Solorz's sons and Grzesiak were removed
from the supervisory board of utility ZE PAK  ZEEP.WA , in which
Solorz controls 65.96% through Argumenol Investment Company
Limited.
    Shares in Cyfrowy Polsat  CPS.WA  were down 0.9% at 1259
GMT, having fallen as much as 7.6% earlier in the day. 

 (Reporting by Anna Koper
Editing by David Goodman
)
 ((alan.charlish@thomsonreuters.com;))