State-run Hungarian Development Bank Zrt (MFB) has sold its 49% stake in Organica to the company's owners, daily Világgazdaság reported.
This comes after Organica Zrt - a company that builds environmentally-friendly biological waste water treatment systems - last month signed a cooperation agreement with France's Veolia, the world's biggest waster water treatment company, in a bid to expand its interest in Central and Eastern Europe's fast growing environmental market and ensure further technological developments at the company.
MFB acquired the stake in October 2005 as part of a deal to provide a Ft 380 million capital injection for the company in exchange for the interest. Organica booked a loss of Ft 120 million last year on revenues of Ft 1.5 billion, as it spent Ft 700 million on investments in 2005 and 2006. This year it expects sales of Ft 2.5 billion-Ft 3 billion. (Világgazdaság)