Despite the successful recent transfer of a 24 percent stake of main power utility PPC’s subsidiary firm IPTO, the power grid operator, to China’s SGCC, the utility’s boss Manolis Panagiotakis has seemed uneasy in public comments, noting that other crucial obstacles still need to be cleared.
According to energypress sources, Panagiotakis is concerned about the details of the procedure entailing the establishment and listing of a holding company to control 51 percent of the new IPTO. Creditors and suppliers of the current IPTO still need to give the green light for the new company’s establishment.
Though no major obstacles have emerged to date, the overall procedure must be completed by March, as demanded by the bailout agreement.
Creditors such as banks, suppliers and sub-contractors owed amounts by IPTO in its current form still need to permit the operator’s equity make-up revision enabling it to transform into an enterprise in which the Greek State will hold a 51 percent stake, SGCC 24 percent and bourse investors 25 percent. IPTO, until recently wholly owned by PPC, is currently controlled by the utility with a 76 percent stake, while SGCC holds a 24 percent stake.
Just days ago, the PPC’s boss informed that a 319 million-euro amount to be provided by the Greek State for its acquisition of IPTO’s 51 percent will be paid in cash to the utility, adding that an offsetting solution will not be resorted to. Prior to this update, it had been widely believed that the Greek State would not be in a position to make a cash payment.
Despite the overall concerns, PPC’s administration is confident the process will be successfully completed.