Magyar Államvasutak Zrt, Hungary's state railway company and the country's biggest employer, has selected UniCredit SpA's CA-IB Zrt unit to advise the sale of its cargo business.
The adviser was selected ahead of Credit Suisse Group and Ernst & Young International, the company said in an e-mail yesterday. Magyar Államvasutak Zrt will next select a company to evaluate the cargo unit's assets, with plans to complete the sale by year-end.
Prime Minister Ferenc Gyurcsány, struggling to control the European Union's widest budget deficit, is selling remaining state assets. The government already sold national airline Malév Zrt this year and is looking for buyers for shares in oil refiner Mol Nyrt and a majority stake in Földhitel és Jelzálogbank Nyrt, the country's second-largest mortgage bank.
The cargo business is worth about Ft 30 billion (€118.8 million) and bidders may include Austrian, Dutch, French, German, Russian and Ukrainian railway companies, Világgazdaság reported, citing Gábor Dióssy, the unit's chairman. (Bloomberg)