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Amica, the Polish producer of household appliances, has confirmed that it intends to sell two washing machine and refrigerator factories to Samsung, the well-known Korean concern.

The transaction is worth PLN 204.5m (€49m). The Polish producer will, however, receive PLN 240m (€57.6m) in total for covering the costs of separating part of the plant and a number of production facilities.

The factories will also continue to produce appliances for Amica. The contract, which will be concluded in March 2010, will be valid for one year and could be extended. The transaction must be approved by the Office of Competition and Consumer Protection (UOKiK) and a general meeting of Amica shareholders.

The capacities and workforces of the factories could be doubled within a few years. Samsung is not, however, interested in acquiring the Polish company but would prefer commercial cooperation. In addition, Amica emphasises that that it would not sell its stake.

Amica and Samsung may also consider establishing a special economic zone in Wronki.

The benefit of a production base in Poland to Samsung will be having easier access to the European markets. The Korean manufacturer does not have any factories in Europe, and a rapid response to changes in trends on the European markets is not therefore possible.

However, Amica could also strengthen its position on the Polish market as a result of its cooperation with Samsung. At present it has a 12.5% market share in Poland.

What this means for Amica products sold outside of Poland is currently unknown.

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