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Management acquires 90% stake in Orangeways bus company

ORW Hungária Kft., a company representing the management of Hungarian bus company Orangeways, has acquired a 90% stake in Orangeways from previous majority owner Ferenc Kedves, the bus company informed MTI on Tuesday morning.

Minority owner Miklós Kovács has retained his 10% stake in Orangeways, the company announced.

The company did not reveal the price but said that Kedves as a financial investor realized the significant increase in the value of the company since it was established in 2007 through the transaction.

Orangeways generated profit on revenue of HUF 750 million in the first half of 2010, the company noted.

In 2009 Orangeways yet recorded losses of HUF 253 million on revenue of HUF 1.148 billion, including HUF 503 million in revenues from domestic operations. Losses fell from HUF 391 million in 2008 when revenues totaled just HUF 321 million.

Net assets of Orangeways stood at HUF 51.6 billion at the end of 2009, data from the company register show.

The company operates 79 buses carrying passengers to 50 cities in Europe as well as locations inside Hungary. (MTI-Econews)