The pantiera SYRIZA against PPC, A. Enria in Athens and the “comfortable” K. Skrekas
The noise from SYRIZA about PPC’s investment initiatives, what the head of SSM will discuss in Athens, how K. Skrekas “doubles down” on the criticism of the high wholesale electricity prices and the impressive entry of the AX into the new year.
SYRIZA is trying to put a block on the acquisition of Enel Romania, remembering the old heroic times, before 2015, when they accused everyone and everything of selling out. As it became known yesterday, the MPs of SYRIZA – PS requested the composition of the Production and Trade Committee to examine the planned acquisition of Enel Romania by PPC. The MPs are asking “the Management of PPC to be invited and come to the Production and Trade Committee to present in detail the feasibility and other parameters of the possible acquisition of Enel’s activities in Romania”. We have no reason to question the good intentions of the good SYRIZA MPs especially for a company like PPC with which the Greek State, in addition to strong historical ties, maintains shareholding rights, controlling 33% of the company.
— Still, some restraint wouldn’t hurt. Specialists from the side of SYRIZA, which does not have the best track record, to remember its strong reaction to the privatization of Eurobank in 2014, a move it had characterized as a “sell-out”, but also to its fierce reaction to the sale of the warrants it owned the HFSF and which it finally blocked in 2014. For the record, SYRIZA had denounced as a sell-off the sale of Eurobank shares to the Canadian group Fairfax at the price of 0.31 euros and, a few months later, in 2015, after the “heroic. » Tsipras – Varoufakis negotiation, a new recapitalization of Eurobank took place at a price that led to a valuation of 0.01 euros for the shares of the old shareholders! And the warrants held by the HFSF in the banks after the 3rd recapitalization were zeroed!
— And to return to today and the actual investment of PPC, it is good to remind the deputies that PPC at the end of 2021 proceeded with a share capital increase of 1.35 billion. euros with the main purpose of acquisitions in the region of SE Europe. In fact, PPC’s management has made a commitment to the investors (who put in their good money) to use AMK’s funds for specific purposes. Thus, even if Mr. Stassis changed his mind, judging e.g. that no takeover should take place, he should go, not to some Commission, but to his shareholders and ask whether or not the 1.35 billion disposal plan is allowed to be changed. If you didn’t, you had serious legal responsibilities.
— Andreas Enria’s most important visit to Athens was probably in July 2019, right after the change of government and while the banks were still loaded with mountains of “red” loans. After this visit, the great acceleration of the consolidation procedures of the bank portfolios began. The head of the SSM had also completed Greece in May, at the invitation of Giannis Stournaras, while his planned visit in July was canceled because he was sick with Covid-19. In his visit to Athens today, the supervisor of the eurozone banks will find the Greek banks with single-digit indicators of non-performing loans and who has a rich schedule of meetings: with the Minister of Finance, Christos Staikouras, with the governor of the Bank of Greece, Giannis Stournara and with the representatives of systemic banks. At the center of the discussions will be the progress that has been made in recent years, the new business plans of the banks and the upcoming stress test for European banks, the challenges that must be faced, the use of a sustainable profitability model, etc.
— This last one, sustainable profitability, and in general the challenges of the next day for the domestic banking system that will yield the most interesting of Mr. Enria’s contacts with the Central Bank and the bankers. The recording of the next day’s challenges for the Greek banks will in some way result in the legacy of Mr. Enrias to his successor.
— Kostas Skrekas appeared yesterday quite comfortable and with businesses that refer to a pre-election period on the thorny issue of the very high wholesale electricity prices in Greece, which has recently been criticized in a critical way not only by the opposition, but also by international organizations, such as the OECD. The Minister of Energy wished “end the war and drop gas prices” and noted that the government has done “all possible interventions to equip supplies and contain prices as far as possible”. Regarding the big differences from the rest of Europe, which the OECD attributes to the lack of sufficient competition, Kostas Skrekas had nothing to say in substance, but led the discussion to the familiar “yes, but with the others it was worse”. As he said, we may remain up to 40% more accurate than the rest of Europe, but we have this difference by 50% compared to the period 2015 – 2018, i.e. during the days of SYRIZA. So, we must be satisfied and there is no need to discuss how this gap with Europe will finally be closed.
— Confirm her information of the column, regarding the listing of Athens International Airport (IAA) on the Athens Stock Exchange, the CEO of TAIPED, Dimitris Politis, in an interview with Bloomberg. Initially, 30% of the AIA located at TAIPED will be allocated. 20% will be made public and the remaining 10% will be acquired through a private placement by PSP Canadians, but at a premium to the IPO price. Thus, the Canadians, through the subsidiary German company AviAlliance, which currently controls 40% of “Eleftherios Venizelos”, will raise their percentage to 50%, the State through the Superfund will control 25%, the Kopelouzos Group to 5% and in free dispersion which is 20%. Mr. Politis emphasized that “we at the Fund are trying to complete the process in the first half of the year”. Mr. Politis’ assessment of the valuation of “Eleftherios Venizelos” is of interest. According to the CEO of TAIPED, the 30% share is valued between 800 million euros and 1 billion. euros, depending on the market situation.
— The DEDDIE network has no problem “picking up” the chargers for electric cars in Greece, said the administrator’s managing director, Anastasios Manos, at the 6th Electrokinesis Conference. As he pointed out, DEDDIE has planned significant investments and the network is able to cover an even greater load. He explained that the substations in Attica have a capacity of 7.2 GW with a maximum required power of 3.55 GW, so there is a margin of 51% in the distribution network. According to Mr. Manos, “we are planning another 1 GW in Attica for an additional 45,000 chargers”.
— The image of the Athens Stock Exchange at the beginning of 2023 reminds us of what we are saying “too good to be true”, recording 11 bullish sessions and just one (marginally) bearish one. The General Index is flirting with the level of 1,000 points, recording since the beginning of the year a rise of +6.43%, the index of high capitalization shares strengthens by +6.59%, the index of banks “writes” +14.67%, while the index of mid-cap stocks increases by 5.83%.
— So the smiles are reasonable, but it is good to remember that last year the market started just as impressively. In the first 45 days of 2022, the A.A. had the top performance in the world with a rise of close to 8%, with the absolute protagonist being the banking index which by February 16, 2022 reached +28.93%! Then, another “black swan” came completely unexpectedly, Russia’s invasion of Ukraine, canceling all the momentum in Greece and internationally.
— Impressive profits for the banks this year with investors “playing” through the banks and the “bet” of the investment tier. Piraeus Bank with +23.12% and Alpha Bank with +19% stand out as after the drastic reduction of the NPEs of the two banks in 2022 there is a process of convergence of their valuations with those of National Bank and Eurobank, which from the beginning of the year they increase +9.79% and +11.85% respectively.
— Investments in the ADMIE share are in progress, stock that is far behind. Noteworthy is the strengthening of transactions and a critical point for the company is what will be done with the so-called WAC, the yield. Last year the reduction in WAC imposed by RAE caused the share to sink, from which it has still not recovered. It is noted that the administration of ADMIE has already submitted a new one request for the increase of WAC, which will be discussed in the coming days by the management of RAE and the decisions that significantly affect the course of the share.
— Motor Oil, after +58.70% last year, gains another +7.24% this year, despite yesterday’s stock correction (-1.76%). The stock is at a three-and-a-half-year, or 42-month high, since July 2019. The stock is now just shy of its all-time high of €24.40 intra-session since July 4 2019. And over the years, it has paid dividends and dividends…
— HEXA ended 2022 with losses of 16.4%, but this year shows a renewed image, having in fact achieved in the last five meetings a large increase in volumes and turnovers. It gains 14.84% in 2023 and benefits from the large increase in transactions on the A.A. At the same time, it will additionally benefit from the AMKs that are launched.
— The Athens Stock Exchange Members Association (SMEHA) has elections tomorrow. They were held in 2020, while they are held every three years. Only 20 members vote. There are more stock exchanges, but many of them are foreign, 5-6 from Europe and about a dozen from Cyprus. Also, there are some domestic ASFs, such as the banking ones, which are not members of SMEXA.
Disclaimer: Its content and information is provided solely for informational purposes and in no way can be construed as advice, suggestion, offer to buy or sell securities, as a solicitation to make any form of investment. There is no responsibility of the website for any investment and other decisions you will see based on this information.