Hungary: A Budapest court has ordered the liquidation of the Dunakeszi rolling stock plant. The decision also covers the Ganz‑MaVag business group that manages the site.
The next stages of the procedure have yet to be determined. If a liquidator is appointed, they may decide to sell the company’s assets either to the state or to another business. However, the latter option is complicated by the requirement to obtain certification for repair and assembly work, a process likely to take at least 18 months.
According to Szabad Europa newspaper, Ganz‑MaVag informed its partners in late September that Dunakeszi Járműjavító, its subsidiary owing the Dunakeszi plant, had become temporarily insolvent. At the same time, the company claimed that a reorganisation plan for the site would be ready by 5 November.
Operations at the Dunakeszi facility were suspended last month. The plant had been carrying out heavy overhaul contracts for national operator MÁV. All 673 employees continue to receive their salaries under a special decree issued by the Hungarian government.
Local media report that the Dunakeszi site began experiencing financial difficulties in 2022, when it was transferred from TMH to Ganz‑MaVag. The plant continued independently to fulfil a 2018 contract for the supply of passenger coaches to Egypt, incurring heavy losses. It is estimated that at least HUF 40 bln (€102.8 mln) would now be required to cover its outstanding debts.
Despite its financial troubles, Ganz‑MaVag, in partnership with the state‑owned Corvinus fund, submitted a €620 mln bid last year to acquire all shares in Talgo. However, the transaction was blocked by the Spanish government. It is also noteworthy that last year it was announced that plans were being developed to assemble locomotives and freight wagons from China’s CRRC in Hungary.
