Morgan Stanley buys stake in Nabi
Thursday, September 29, 2005, 15:36
Morgan Stanley, the largest U.S. securities firm, bought a stake in unprofitable Hungarian busmaker
Nabi Bus Industries Rt, becoming its second-largest owner after the First Hungary Fund. Morgan Stanley bought a 6.8% stake in Nabi for an undisclosed price, the Hungarian company said today in a filing to the Budapest Stock Exchange. The report didn't say who the seller was. First Hungary is Nabi's largest shareholder with a 37.3% stake, while Citigroup Inc. owns 6.1%. The stake is valued at Ft 54.4 mln ($263,619), based on yesterday's closing price. Budapest-based Nabi on May 26 agreed to reduce debt by $43 mln by selling a third of the company and 90% of its U.S. unit to creditors, which include HSBC Holdings Plc and OTP Bank Rt. Chief Executive András Rácz said he wanted to find buyers for the rest of Nabi by December.