Simplified Privatization

The State Privatization and Holding Company (SPHC) intends to sell state-owned corporate shares of medium sized and small businesses in the frame of a simplified privatization, which suppose to accelerate the privatization in Hungary. There are approximately 275 companies to be privatized in this program. Shares of companies may be transferred to private investors through this method of privatization if the own capital of the company do not exceed HUF 600 million and the number of full time stuff did not exceed 500 on an annual average in 1994. Insurance companies and financial institutions are excluded form this simplified procedure. These smaller companies shall be sold in two steps: the SPHC shall publish a list of 100 business until September 30, 1995 and the second list of the companies are to be published until December 31, 1995. The SPHC shall publish in its official journal the name of the company and the minimum price to be paid for the transfer of the shares. The purchaser