Polish Armaments Group to get EUR 99.8 mln capital injection

Dominant defence firm Polish Armaments Group (PGZ) is to receive a capital injection of PLN 430 million (EUR 99.8 million) under a deal signed between Prime Minister Mateusz Morawiecki and PGZ President Witold Slowik on Wednesday.

"We are showing what our aims are in ensuring security to the Polish army, to Poland," Morawiecki said, describing the deal as a "breakthrough."

The additional funds will be earmarked for investment in PGZ subsidiary Mesko. The investments in facilities in Skarzysko-Kamienna, southern Poland, where the deal was signed, and Pionki, south-central Poland, will help projects related to production of modern gunpowders, ammunition and missiles until 2022. The money will also enable an increase in production capacity, and the expansion of a machine area and storage facilities.