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15th August, 2019

MOL to demand excessive price for INA

Hungarian company MOL will quote an excessive price for its 49% stake in INA, one that the Croatian government cannot afford, because it does not want to leave, a source told Zagreb weekly Nacional.

What MOL is doing in INA signals that it intends to stay, the source said, adding that recent statements by Prime Minister Viktor Orban and Foreign Affairs and Trade Minister Peter Szijjarto also indicate this.

For the valuation of the INA stake, the Croatian government hired UK investment bank Lazard two weeks ago, replacing its earlier consultant, a consortium led by investment bank Morgan Stanley, with Sanpaolo Group and Privredna Banka Zagrab as its members.

Local media have criticised the government for not hiring consultants who are familiar with the oil industry. (privatbankar.hu)
15th August, 2019

Sale of pipeline operator okayed

The energy authority MEKH has approved the purchase by FGSZ, a gas transit subsidiary of MOL, of the operator of the gas pipeline connecting Hungary and Slovakia, from the state, Vilaggazdasag reports.

MOL will purchase pipeline operator MGT for Ft 34 billion.

The EU earmarked a €26 million subsidy for the Hungarian-Slovak gas connection pipeline originally planned to be built by MOL and Eustream, a Slovak company.

After MGT was set up in 2011, this funding went to one of its founders, Ovit, Napi recalls.

The government declared the sale of the pipeline to be “of national strategic importance,” thereby exempting it from examination by the competition authority. (napi.hu)
15th August, 2019

Gyurcsanys to close family business

Tamas Gyurcsany has become the CEO of consultancy companies Altus and Altus Portfolio, replacing his mother Klara Dobrev, from July 1, HVG has learned.

Altus will be closed down, said Dobrev, who was elected to the European Parliament in May, adding that Tamas will manage the six-month process.

Ownership of Altus was transferred from Ferenc Gyurcsany to Dobrev, his wife, in 2016.

Their son Tamas was born in 1997.

Altus realised a Ft 1.8 million profit on revenues of Ft 33 million in 2018.

Altus Portfolio was separated from Altus in 2015. Its owner is Ferenc Gyurcsany. It reported a Ft 57 million loss last year on revenues of Ft 260,000.

Altus Portfolio will make financial investments only, Dobrev said. (hvg.hu; napi.hu; index.hu)
15th August, 2019

Sziget Festival revenues drop

The number of visitors of the Sziget Festival dropped this year to some 530,000 from last year’s record attendance of 565,000, and profits will be lower as a result, Nepszava reports.

Although no exact number was revealed, the promoter indicated last year that the profit was near Ft 1 billion.

The costs of the festival rose from Ft 10.1 billion to Ft 10.8 billion in one year.

In addition, ticket sales for the last day, Tuesday, were down considerably due to the bad weather.

Tamas Kadar, head of the festival organising company, told Nepszava that the number of visitors has reached its maximum, while costs were excessive this year, as there were nine top performers over the seven days.

This year 53% of the visitors were Hungarians. Most foreigners came from the UK, the Netherlands, France, Italy and Germany. (nepszava.hu; hvg.hu)

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