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18th May, 2023

EC clears MOL takeover of OMV Slovenija

The European Commission yesterday announced its approval of the acquisition of petrol retailer OMV Slovenija by MOL, almost a year after the deal was announced.

The Austrian oil company agreed to sell its Slovenian unit, including 120 petrol stations and a wholesale business, in June 2021 to MOL, which was already present on the Slovenian market with 53 fuel stations.

The Commission’s in-depth investigation of the market found that the transaction would restrict competition in the retail fuel market in Slovenia, and would reduce the number of dominant retail fuel distributors from three to two.

To address these competition concerns, MOL offered to sell a nationwide retail network of 39 fuel stations in Slovenia to Shell.

With the Slovenia acquisition, MOL has a network of almost 2,500 petrol stations in 10 countries in Central and South-Eastern Europe and is the market leader in the retail fuel segment in most of these countries. (index.hu; portfolio.hu; novekedes.hu; hvg.hu; mfor.hu; piacesprofit.hu)
18th May, 2023

Janaf to ship oil to MOL via Adriatic pipeline

MOL has signed a transport and storage contract with Croatian pipeline operator Janaf that allows the Hungarian oil company to transport 2.9 million tons of crude oil to its Hungarian and Slovakian refineries via the Adriatic pipeline.

Under the contract, Janaf will store 79,385m3 of oil at the Omisalj terminal on the island of Krk, as well as 70,000m3 of crude oil at the Sisak terminal.

In a press release, Janaf said the contract, sealed after months of negotiations, guarantees a secure and uninterrupted supply to Hungary and Slovakia and confirms the strategic importance of Janaf for the energy stability of the region.

The parties did not disclose the financial details of the deal. (portfolio.hu; hvg.hu)
18th May, 2023

GVH approves as MBH swallows Duna Takarek Bank

The Competition Authority (GVH) has approved the absorption of the Gyor-based Duna Takarek Bank by MBH Bank, which was launched earlier this month after ending a long merger process involving MKB, Budapest Bank and Takarekbank.

Duna Takarek Bank and MBH signed a declaration earlier this month and submitted a merger notification to the GVH on May 8.

The GVH gave the green light for the transaction, saying the approval process would not require an investigation, as the merger will not significantly impede market competition.

Duna Takarek Bank, formed in 2013 from the savings co-operative with the same name, was one of the few financial institutions not to be part of the wider integration of savings co-operations, spearheaded by Takarekbank.

According to earlier reports, Takarekbank began talks on acquiring Duna Takarek Bank in 2020. (mfor.hu)
18th May, 2023

Budapest Airport invests euro 30mn in cargo base

Budapest Airport will expand its annual air cargo capacity from 250,000 to 300,000 tons with the expansion of Bud Cargo City at a cost of euro 30 million, deputy chief development officer Rene Droese announced at Wednesday’s topping-out ceremony.

Bud Cargo City handled a record 200,000 tons of air freight last year, an annual increase of 5.8%, and 43% above 2019 levels.

Budapest Airport began construction of the cargo base in 2018 from a euro 50 million investment and completed the first phase of the project in 2020.

The second phase will consist of an euro 18 million expansion of the floor space and a euro 12 million project to enlarge the apron for aircraft, to be completed by the end of this year.

As for other projects, Budapest Airport plans to inaugurate a new parking lot in front of Terminal 2 in the summer, and reopen Terminal 1 to passenger traffic by 2026.

The airport operator is also making preparations for the construction of Terminal 3, which it aims to complete by 2030 at a cost of euro 1 billion, Droese said. (mfor.hu)
18th May, 2023

OTP completes $500mn bond issue

OTP Bank issued $500 million in bonds on Wednesday, its second international issuance on the foreign markets this year.

Hungary’s largest lender secured $650 million in fresh funds in February.

Besides domestic and international investors, the EBRD and IFC also subscribed the bonds.

The four-year maturity senior preferred bonds will pay a coupon of 7.5% and can be redeemed after three years.

Lead managers in the new issue are BNP Paribas, JPMorgan, Morgan Stanley, Societe Generale and OTP. (portfolio.hu)

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