WARSAW, Sept 26 (Reuters) - Polish power firm ZE PAK could be valued at up to 3.7 billion zlotys ($1.2 billion) in what is set to be the country's biggest flotation so far this year, three sources told Reuters on Wednesday.
They said brokerages Ipopema Securities and Espirito Santo, value Poland's No.5 electricity producer at 1.7-2.3 billion zlotys according to the discounted cashflow method and at 2.1-3.7 billion with valuation using multiples.
Ipopema and Espirito Santo, which both declined comment, are joint bookrunners on the offer together with Trigon and DM PKO BP. Credit Suisse, ING, JP Morgan and UniCredit are global coordinators.
ZE PAK said earlier on Wednesday the public offer of the state treasury's 50-percent stake in the utility is to be sold during the IPO planned for the fourth quarter.
The offering is part of a $3 billion plan to privatise several of the state's stakes this year.
The company will join several state-controlled utilities on the stock exchange, including top player PGE.
ZE PAK closed 2011 with revenues of 2.69 billion zlotys and a core profit (EBITDA) of 769 million zlotys.
Polish media and telecoms magnate Zygmunt Solorz-Zak ceded day-to-day control of the utility in exchange for the right to acquire a majority stake in the IPO. ($1 = 3.1857 Polish zlotys) (Reporting by Pawel Bernat and Adrian Krajewski; Editing by Hans-Juergen Peters)