Shares in state-controlled Polish coking coal producer and coal miner Jastrzebska Spolka Weglowa SA rose at the open Wednesday, marking the largest debut on the Warsaw Stock Exchange so far this year, netting the Polish government 5.37 billion zlotys ($1.96 billion) and disproving the truism that Poland’s coal sector will forever be governed by populist politics instead of market forces.

Poland’s Treasury Ministry sold a 33.1% stake in the company, a move which officials called a landmark transaction for Poland’s capital markets and a milestone in the country’s transition to a market economy, which started over 20 years ago.

By 1221 GMT, shares in JSW were up only 0.4% at 136.50 zlotys, but the initial public offering could still be deemed a success given equities markets throughout Europe were in the red and the continent’s IPO market remains moribund.

The coal miner was the most heavily traded stock on the Warsaw Stock Exchange, and outperformed Warsaw’s large-cap WIG20 index, which was down 0.5%. Read More »