Real-time MHE-based nonlinear MPC of a Pendubot system★★The authors gratefully acknowledge the contribution of the Slovak Research and Development Agency under the projects APVV-0090- 10 and APVV-0015-12, the Scientific Grant Agency of the Slovak Republic under the grant 1/0144/15, and the internal grant of the Slovak University of Technology for support of young researchers. This work has also benefited from collaboration within the People Programme (Marie Curie Actions) of the European Union-s Seventh Framework Programme (FP7/2007-2013) under REA grant agreement no 607957 (TEMPO).