CEESEG and OeKB sell stakes in Budapest Stock Exchange to Hungarian National Bank - Update

UniCredit Bank Austria AG
Further details on the Budapest Stock Exchange stake acquisition transaction have become publicly available
Tue, 24/11/2015


Further to our earlier newsflash on the acquisition of 68.8% of the stake in Budapest Stock Exchange (BSE) by the Central Bank of Hungary (CBH), please find below supplementary information with details on the transaction.

The acquisition increases the CBH’s ownership in BSE to 75.8%.

The transaction amount is HUF 13.2 billion (HUF 3,550 per share) (in EUR terms, approximately EUR 11.38 per share or EUR 42.32 million for the whole transaction).

The sale and acquisition agreement was entered into on 20 November 2015, however the transaction has to be approved by the Hungarian Competition Authority, thus the actual closing of the deal is expected by the middle of December 2015.

The primary aim of CBH with the acquisition was to put a strategic plan in place targeting the development of the national capital market. The main pillars of this strategic plan are:

  • cooperation with the other owners of BSE in order to develop both the issuer and the investor side of the stock exchange;
  • implementation of a regulatory framework behind the stock exchange;
  • improvement of the brand of the stock exchange;
  • introduction of various incentives for both issuers and investors;
  • creation of new sections on BSE, e.g. for mid -size companies;
  • broadening of the services offered by BSE, provision of assistance for securities listing;
  • development of relationships at global level, formation of alliances at regional level and within Europe.

Further details of the strategic plan of CBH are expected to be published in January - February 2016.

Impact on investors: With increasing its stake in BSE and implementing the announced strategic plan, CBH plans to facilitate further development of the Hungarian capital market.

Related Newsflash: CEESEG and OeKB sell stakes in Budapest Stock Exchange to Hungarian National Bank