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Hungary Bans Foreign Takeover Of Dairy Company, Citing Supply Safety Concerns
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ESM Magazine
Hungary's government has banned the foreign takeover of dairy company Alfoldi Tej Kft, citing supply safety concerns and national interests, the Economy Ministry said.
The Economy Ministry said a foreign investor it did not identify had sought to acquire all shares in the dairy maker, which the government says accounts for nearly a fifth of raw milk purchases in the country.
'Substantial Market Disruption'"Due to its significant market share, (a) foreign acquisition could cause substantial market disruption in domestic milk production and procurement, as well as high supply security risks," the Economy Ministry said in a statement.
ADVERTISEMENTOfficials for Alfodi Tej Kft, which is owned by a group of Hungarian investors, did not immediately respond to emailed questions for comment.
Founded in 2003, Alfoldi Tej Kft employs more than 700 people and processes nearly 270 million litres of milk per year based on information published on its website.
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