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Gov't gives go-ahead for sale of power grid operator

The state-owned Hungarian electricity holding MVM Zrt has been given permission to sell a minority stake in transmission system operator MAVIR.

The government earlier announced it would offer a stake of between 25% and 50%-minus-one-share in MAVIR under the New Ownership Program, a scheme that will offer retail investors shares in majority state-owned companies under preferential terms. The MAVIR shares are to be sold under the scheme by November 30, 2009, at the latest.

MAVIR paid Ft 8.8 billion in dividends in 2008, or nearly all of its pre-tax profit of Ft 10.6 billion, Econews reported earlier. MAVIR's balance sheet showed total assets of Ft 351.4 billion at end-2007.

A 25%-minus-one-share stake in MAVIR's parent MVM is also to be offered under the New Ownership Program by November 30, 2009. (MTI – Econews)