State to buy Hungary-Slovak gas transit company from state-owned shareholder
The state will take direct ownership in Magyar Gáz Tranzit, a Hungarian company responsible for the Slovak-Hungarian gas interconnector, currently owned by two state-owned companies by the end of September, a government resolution taken on Thursday and published in the Hungarian official gazette Magyar Közlöny shows.
Hungarian electricity works and energy group MVM and MFB Invest, a unit of the National Development Bank (MFB) each hold 49.98% of Magyar Gáz Tranzit shares, with the remaining few shares held by the local council of Hévíz, a town at Lake Balaton.
The government resolution says the purchase will go through the state assets manager MNV at a price based on an assets evaluation. MNV will buy the shares held by MVM from its own resources, and it will buy the stake held by MFB Invest "after the economy and development ministers secured the necessary appropriations from the central budget".
Once the transactions are completed, ownership rights over Magyar Gáz Tranzit will be exercised by the Ministry of Interior, the resolution shows. The purchase of Magyar Gáz Tranzit was among the four state assets acquisitions that will make a budget amendement necessary according the explanation of a bill of amendement, tabled by National Economy Minister Mihály Varga in the middle July.
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.