NGM: negotiations begin between Alföldi Tej Kft. and the Hungarian State on the acquisition of the dairy company

The announcement reminds that the Minister of National Economy prohibited the acquisition of the Hungarian-owned Alföldi Tej Kft. by a foreign investor on September 16, as the transaction would have jeopardized the security of food supply for Hungarian families.

On September 29, the dairy company also notified the Ministry of National Economy in writing of the decision of the general meeting, according to which the members of the company would offer the Hungarian State 100 percent of the company’s business share for purchase under the same conditions under which it was planned to sell it to the foreign company. Negotiations to establish the purchase and sale will begin in the coming days.

The state purchase is being implemented in the interest of the population’s security of supply. Alföldi Tej Kft. currently accounts for nearly 20 percent of domestic raw milk purchases. The Hungarian State would like to ensure that the well-known, high-quality product line continues to be available on store shelves at affordable prices, they wrote.

The Ministry of National Economy intends for the acquisition to take place as quickly as possible and for the farmers belonging to the ownership group not to suffer disadvantages due to the ban on foreign acquisitions, they added.