The share capital increase of Public Power Corporation began with huge momentum on Monday, confirming the major interest of the international investment community in the Greek energy group and its ambitious development plan.
Within the first minutes of opening, the bid book had covered PPC’s target of raising €4 billion and by late afternoon, the offers exceeded €12 billion, oversubscribing the company’s initial target by three times. Demand appears particularly strong, while the final picture will be formed on Wednesday, when the book closes.
Despite the large oversubscription, however, and the reported suggestions by the underwriters for expanding the issue up to €6 billion, PPC management remains committed to a controlled capital increase, with the final amount being formed at most between €4.2 billion and €4.4 billion. The final decision, according to banking sources, will depend on the amount of the binding offers, the composition of the investors and the formation of the final offering price.
The price of the new shares was set at €19.75, matching Friday’s closing at Athinon Avenue. The process, with the private placement procedure to foreign institutional investors and the public offering in the local market, will also include the participation of the Greek state in proportion to its existing stake (33.4%), and of CVC that controls 10.34%.
