ADVERTISEMENT

Government issues $700 mln loan guarantee for Budapest Bank purchase

Telco

The Hungarian government has undertaken to provide a guarantee to a loan worth up to $700 mln, which is expected to finance the planned acquisition of Budapest Bank by the Hungarian state, a government resolution published in the official gazette Magyar Közlöny on Friday reveals. 

The preliminary contract on the purchase of Budapest Bank from General Electric was signed on December 4. The loan is to be provided by state-owned Hungarian Development Bank (MFB) to its unit Corvinus Nemzetközi Befektetési to finance the acquisition, the government resolution revealed. According to Hungarian news agency MTI, Budapest Bank is Hungary's eight-biggest bank, it had consolidated net assets of HUF 154.1 bln and total assets of HUF 905.4 bln at the end of 2013. The bank closed the year with consolidated net profit of HUF 13.1 bln.

ADVERTISEMENT

Fiscal, monetary policy partnership needed to rein in CPI - ... Analysis

Fiscal, monetary policy partnership needed to rein in CPI - ...

Parliament approves amendment to Competition Act Parliament

Parliament approves amendment to Competition Act

New CEO announced at Codic Hungary Appointments

New CEO announced at Codic Hungary

FAO–Food Bank convoy delivers food to those in need City

FAO–Food Bank convoy delivers food to those in need

SUPPORT THE BUDAPEST BUSINESS JOURNAL

Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.