All in good time
After more than 15 years the privatisation of Hungexpo was completed in July 2005. János Barabás, deputy chief executive, talks about the exhibition company's massive modernisation project in Budapest.
Who are the new owners?
The winner of the bid was a consortium headed by the French group GL Events.
What does the GL Events group do?
The company is a prominent international contractor for the events industry.
Why did Hungexpo go private?
To generate capital for development of the new Hungexpo exhibition centre. Investment of around EUR 20 million is scheduled up to 2009.
What has changed since July 2005?
Before its privatisation Hungexpo was a state-owned company, afterwards it became part of a big, internationally operative group.
How is Hungexpo's infrastructure to be altered?
Our covered exhibition space will soon be lifted from 40,000 to 50,000 m2. The old halls are to be modernised and a new general-purpose hall will be built.
What has been realised so far?
So far we've been able to knock down old, disused buildings. All other plans are currently being examined and we're waiting for planning permission.
Will fairs be staged during the alteration work?
All scheduled fairs will take place during the construction work.
Have new fairs already been launched in Budapest?
The themes of our exhibitions cover practically all sectors. We handle around 65 % of Hungarian exhibition activity. 80 % of the tradeshow activities that take place in Budapest are dealt with by us. 85 % of all foreign exhibitors take part in fairs organised by us. But at the moment new exhibitions don't stand much of a chance.
So how do you expect this heavy investment to pay off?
Now that we belong to a big international group we are hoping for synergetic effects. We have identified potential for growth in guest events. We want to offer space for big events and functions of all kinds. Management's aim is to strengthen this part.
Do you have any other plans to generate more business?
Another possibility would be to enter into alliances with exhibition companies outside Budapest and to organise events jointly with them, as already practised at Autotechnika - Auto-DIGA 2006. We could also envisage merging or buying exhibitions on related themes.
What are the new owners essentially looking to achieve?
Hungexpo is to develop into a modern exhibition complex with high occupancy, playing host to lots of guest events in addition to its proprietary fairs. More effective business processes are to be achieved. Budapest is to become a more attractive destination for "conference tourism".Interview: Christine Seizinger
m+a report Nr.7 / 2006 vom 27.10.2006
m+a report vom 27. Oktober 2006