SGCC agreement for 24% of IPTO endorsed by Brussels

The European Commission has endorsed an agreement between state-controlled PPC, the main power utility, and China’s SGCC (State Grid Corporation of China) for the latter’s acquisition of a 24 percent stake in the power grid operator IPTO, a PPC subsidiary.

The proposed acquisition, priced at 320 million euros, does not breach EU competition regulations, the European Commission announced.

The Greek government had submitted its application to Brussels, seeking an endorsement for the agreement, just over a month ago, on April 10.

Signs of a swift approval from the European Commission had emerged several days earlier, as was reported by energypress.

Commenting on the development, energy minister Giorgos Stathakis expressed satisfaction and underlined that the government’s policy, looking to maintain the Greek State’s control over the country’s electricity networks, was vindicated by the decision.

According to the government’s plan, a 51 percent stake of IPTO will be transferred to the Greek State and 25 percent will be offered through the bourse.

IPTO’s split-and-sale procedure is expected to be finalized at a PPC general shareholders’ scheduled for May 23.