07-08-08 OMV, central Europe's biggest oil company, scrapped a hostile 2.8 tn-forint ($ 18.4 bn) bid for Hungary's MOL after the European Union said the takeover would hurt competition.
After doubling its stake in MOL, Hungary's biggest oil refiner, to 20 % last year, OMV offered to buy the rest for 32,000 forint a share in cash to expand refinery production and control the country's gas pipelines.

MOL bought back shares to thwart the proposed takeover and the Hungarian government also opposed the bid.
OMV was prepared to sell part of a refinery network between Bratislava and Vienna while the European Commission had been asking for "additional remedies" the company couldn't accept, Chief Executive Officer Wolfgang Ruttenstorfer said.

OMV's withdrawal may boost competition as Russian firms led by Gazprom and LUKoil seek to expand in the region.
"OMV is withdrawing from its bid for MOL as they have hit a legal wall," said Alfred Reisenberger, an analyst with Cheuvreux in Vienna.