Latest developments concerning the main power utility PPC’s ongoing effort to sell its Megalopoli and Meliti power stations strongly suggest the sale stands little or no chance of attracting even just one offer by tomorrow, when the procedure’s extended binding bids deadline expires.
Indicative of the friction that has simmered between the seller and buyers, PPC’s chief executive Manolis Panagiotakis, speaking yesterday at a company event for the New Year, remarked: “We don’t expect private-sector investors to offer amounts that will take 25 years to recover, as has been the case with PPC. Let them recover these amounts in half the time.”
The utilization of electricity quantities promised by the acquisition outweighs the importance of profit margins, the PPC boss contended.
“In markets and countries of far greater maturity and economic development enterprises do not rely on big profit margins but product quantity,” Panagiotakis said.
PPC will do whatever possible for a successful outcome in the sale, he stressed, thereby suggesting the power utility should not be held accountable if the procedure fails to produce a result.
PPC may need to deal with European Commission pressure for the inclusion of hydropower facilities into an expanded sale package if the current effort sinks.
Potential buyers have adamantly pushed for improved sale terms in the lead-up and remain dissatisfied, reminding that Megalopoli and Meliti are both loss-incurring units.