Attica the locomotive of the new scheme, the profits of OPAP and the huge investments of GEK TERNA

As part of the Economist event, Alexander ExarchoOne of the three shareholders of Thrivest Holding, speaking to reporters, stated that the timeline set for the merger of Pankritia Bank with Attica Bank is progressing normally, with absolute commitment to the goal of creating the fifth banking pillar in the country. In this context, it is important that the new Heracles 3 proceeds immediately, which will essentially complete the consolidation of smaller banks, and also act positively in trying to restore investment grade.

It is expected to be the locomotive of the new banking group Attica, which is larger in size and contains all the corresponding “tools”. What Attica did not have so far was organization and management with clear goals. The bank’s new shareholders have ambitious goals, and Eleni Vrettou who was called in to take on the project and carry out the assignment was – it seemed – the best possible choice.

In a huge investment plan of 10 billion euros Until 2027, which relates, among other things, to the franchise and energy sectors, Managing Director of GEK TERNA, Mr. Giorgos Perestris indicated at the general meeting of shareholders that he does not have significant financing needs, as the group has the necessary financial strength to finance the same participation in all projects.

At the same time, he also noted the “giant” outstanding balance, as he called it, of €5.5 billion. As he explained, most of this relates to a low-risk construction project, while at the same time, on projects for third parties, contracts are secured with precisely priced offers and clauses, in order to protect the company from sharp fluctuations.

Particularly noted was the position of the company’s leader in concessions, managing more than 1,500 km of motorways, while at the same time participating in symbolic projects involving multi-billion euro investments, such as the new international company Heraklion. Crete airport and integrated tourism complex in Elliniko and the new natural gas power plant in Komotini.

Especially for the integrated tourism complex in Elliniko, the initial construction works are expected to start in July, while for the addition of Egnatia Road, which will be a new landmark for the company, it was reported that the related concession contract will be submitted next month to the Audit Court. As noted, evidence of contract financing and projected projects for the maintenance and development of the road hub has already been submitted to TAIPED.

Also interesting is the fact that the ratio of net debt to adjusted EBITDA decreased in 2022 to 2.3 compared to 3.8 in 2021, despite increased investments. As confirmed, the company is still credible and enjoys open funding from local and international organizations and will also come into contact with recovery fund funds.

May and June (so far) are not summer months. Rain and clouds negatively affected the productivity of photovoltaics and over two months, which are two of the most productive months of the year, a serious lag is expected compared to last year.

According to experts, the project load has even decreased to 20%, which has affected the companies’ income accordingly. On the other hand, reservoirs located in hydroelectric power stations It was more full than last year (82% vs. 79%) which, of course, is good news ppc.

Today is the last day for shareholders from OPAP They will have to announce whether they want to take a dividend of 0.7 euros per share on June 27 (0.665 net) or reinvest the profits in the stock market at 15.75 euros per share.

On the previous seven occasions to redistribute profits Shareholders came up with a lot for … a lot of money after acquiring shares at a price of up to 7.91 euros. There is practically no loser as the stock is trading at multi-year highs while the ‘most expensive’ reinvestment took place in July 2022 at €13.79.

Perhaps the possibility of dividend reinvestment by other listed companies with a tradition of high dividend yields should also be considered. It is a good incentive for “loyalty” to the company and helps companies maintain liquidity on their balance sheet, because in essence it is an indirect capital increase.

Compensation for past years’ losses On the one hand, they “clean up” balance sheets, and on the other hand, they enable Dividend distribution. Corporations give up the tax advantage of accumulated losses, but gain the ability to distribute capital or dividends to their shareholders. Of course, it is enough that the amount of capital is guaranteed and the face value has some basic substance.

In this year’s general meetings updating corporate equity by defining losses and increasing capital, we have identified Intracom, Reds, Mig. Similar decisions were made last year by Kekrops, Eurobank, Aegean, Lavipharm, National Bank, etc.

in European Central Bank Preparing for European bank stress test announcements. 99 banking institutions have been examined and this will be announced at the end of July. The declaration will not be of a “successful or unsuccessful” nature, but will affect the SREP indicator, which will be formed accordingly by integrating test results. The results of stress tests for US banks will be published by the Federal Reserve on Wednesday, June 28.

Despite the outperformance of the Greek stock market, which saw the value of total market capitalization increase by €17 billion in the first half of the year, reaching its highest value since January 2010, Athens Stock Exchange Group Moves in the direction of further market improvement.

The five main points that will improve the numbers of the Athens Stock Exchange Group are to enhance commercial activity, increase revenue from existing services, optimize customer service, promote digital innovation, and improve the group’s operating model. This is a strategy that is already being implemented by HEXA management.

Regarding the first and most fundamental point, it can be achieved by conquering the investment stage and will attract Greek and foreign investors, supported by wealth creation, which will come from further support and development of the Greek economy. Group revenue for the first quarter of 2023 increased 23%, with EBITDA increasing 16%.

Economists see the Turkish Central Bank raising interest rates significantly at Thursday’s meeting, but estimates of the size of the increase vary. At Goldman Sachs, they expect the benchmark rate to rise to 40% from 8.5% at the monetary policy meeting on June 22, the first increase since March 2021.

in American bank They expect an increase in the intervention rate to 25%, but they do not rule out a smaller increase surprise. Deutsche Bank expects a 20% uptick in June, and its forecast coincides with the market consensus. At Societe Generale, they expect a smaller 15% increase, while at Standard Chartered They estimate that the interest rate on the pound will rise to 14%.

Turkish lira It has lost 16% of its value in the exchange market since the May 28 elections, and has reinforced expectations in investment circles that the government will follow a gradual return to traditional economic policy after President Erdogan is re-elected for another five-year term. .

Turkey raised the minimum wage for the second time this year, a move that will intensify inflationary pressures and make it more difficult for economic new hires. The minimum wage will rise by 34% to 11,402 pounds ($483) per month.

with the cursor Bloomberg Trade Tracker We were engaged in early April. This indicator, prepared by the analysis department of the international agency, is calculated based on the values ​​of ten different indicators related to different aspects of international trade. Four of them relate to sea freight traffic, another four relate to how executives of large exporting companies assess the situation, and another two relate to the volume of exports of some of the countries with high performance in this sector.

From the difference in the price of each of these indicators with respect to the long-term average, useful conclusions can be drawn about the state of international trade, with the ten sub-indices providing a fairly representative sample. In April, six were below the long-term average and four were nearly above the average.

After two and a half months, the situation does not seem to have changed significantly, as six of the ten sub-indices are at a negative level and four are at zero. As noted in yesterday’s related Bloomberg article, the sub-indices improved slightly in May but have deteriorated again in the past few days.

Tom Orlik, chief economist at Bloomberg, points out that the poor performance of the Bloomberg Trade Tracker Index and its indices is mainly due to the not-so-good state of international trade. Orlick notes that he hoped for a quick tip China’s economic development So far denied, Europe and the US face the challenge of high interest rates and concerns about a significant slowdown in economic activity.

Orlick is also looking for something positive, concluding that the situation in the supply chain sector around the world should be completely normal, leaving behind the big problems that have plagued the global economy and fueled inflation for most of 2021 and 2022.

Looking at the performance of the indices (and comparing them to the beginning of April), we see that traffic in the Port of Los Angeles is still below average. In the port of Hong Kong the situation has worsened while in the port of Singapore the situation has improved and is now on neutral territory.

As in April, the Baltic Dry Index was at a near-average level. From the point of view of estimates of business officials, it is still clearly below average Executive estimates 9000 exporting companies registered by the IFO Institute. As in April, the estimates of the executives of more than 150 companies exporting electronic products from Singapore turned negative.

Estimates for 800 US business executives from 18 different sectors of the economy were close to neutral, slightly better than in April, while estimates for executives at 3,000 Chinese export firms were similar. Finally, the export performance was clearly below average for two of Asia’s major exporting powers, Taiwan and South Korea. So things haven’t changed much. It is reasonable not to expect a strong recovery in international trade anytime soon.

Evacuation responsibilaty

This material is provided for informational purposes only. It should in no way be taken as an offer, advice or solicitation to buy or sell said products. Although the information provided is based on sources believed to be reliable, no guarantee is given that it is complete or accurate and should not be relied upon as such.