Organica wins Ft 1.5 bln contract from Polish towns
Wednesday, November 9, 2005, 12:44
Hungary's Organica Environmental Technologies has won tenders worth Ft 1.5 billion to build environment-friendly waste water treatment systems in five towns in Poland, business daily Világgazdaság reported on Wednesday. Organica will start the projects at the beginning of next year, and expects to participate in more tenders soon, CEO István Kenyeres said. Organica expects its Polish unit, which it set up three years ago, to become profitable next year. The company also has a unit in Slovakia, and plans to set up subsidiaries in Romania and Bulgaria in 2006 and 2007.
In Hungary, Organica plans to build a waste water treatment plant on Budapest's Margaret Island, together with the capital's municipal sewerage company, next year. Organica will pay for the investment, then charge a fee to operate the facility.
Organica expects revenue of Ft 2 billion this year and will target a rise to Ft 3 billion in 2006. At the beginning of October, Organica received a Ft 380 million capital injection from the Hungarian Development Bank (MFB) Rt in exchange for a 49% stake in the company. MFB will pull out of the company after five years.