Weil Represents CEE Stock Exchange Group and Oesterreichische Kontrollbank in Sale of Stake in the Budapest Stock Exchange to the National Bank of Hungary

Friday, April 22, 2016 - 12:58

Weil represented CEE Stock Exchange Group AG (CEESEG), a holding company with controlling stakes in the Vienna, Prague, Ljubljana and Budapest stock exchanges, and Oesterreichische Kontrollbank (OeKB) in connection with the sale of their combined shareholding of approximately 70% in the Budapest Stock Exchange to the National Bank of Hungary. The transaction closed in December 2015.

There were several distinct aspects to this transaction. Since the stock exchange is a unique asset, the transaction did not encounter frequent regulatory issues. Additionally the National Bank of Hungary was not only the buyer but at the same time a minority shareholder in the Budapest Stock Exchange and simultaneously, the regulator, which added an additional singularity to the transaction. In order to address this particular set-up, a highly unusual liability regime had to be put in place for the seller in the transaction documents. The transaction signed and closed in over two months, a relatively short period of time given the complex structure required.

The Budapest office of Weil is regularly involved in high profile M&A transactions in the Hungarian market. Notable recent representations include advising GE Capital on the $700 million sale of Budapest Bank, advising UGI Corporation in its acquisition of Total S.A.’s liquefied petroleum gas business in Hungary and Romania and advising Magyar Telekom on the auction sale of Origo.

The Budapest team included Finance partner Konrád Siegler, M&A counsel Pál Szabó and associate Dária Szabó.