Poland allocates $187 mln to help companies including Rafako and Rafamet (updated)

Rafako SA w upadlosci

29/04/2025 13:29

Adds quotes, background

WARSAW, April 29 (Reuters) - Poland will allocate 700 million zlotys ($186.69 million) to helping companies including bankrupt boiler-maker Rafako RFK.WA and industrial machinery producer Rafamet RAFP.WA, Polish Prime Minister Donald Tusk said on Tuesday.

Tusk has recently indicated that Rafako, which provided boilers for almost all of Poland's power plants before filing for bankruptcy in 2024, could be repurposed to produce weapons, a strategic priority for Warsaw in the face of what it says is an increased threat from Moscow.

"I have made a decision to transfer over 700 million zlotys to the Industrial Development Agency. This money will be used to help, among others, two companies from Raciborz, Rafako of course, and ... Rafamet," Tusk said.

The prime minister's statements contributed to a significant increase in the share prices of Rafako and Rafamet, which gained over 30% and almost 8%, respectively.

He did not provide details on Tuesday as to exactly how the money would be used to help the companies.

In mid-April, Tusk announced that Poland must put the interests of its companies first and at that time he also announced that the government would like to support the struggling Rafako.

($1 = 3.7495 zlotys)

 (Reporting by Alan Charlish, Pawel Florkiewicz; editing by David Evans)

 ((alan.charlish@thomsonreuters.com;))