The board of directors of PPC SA (ATH:PPC) on Friday gave the green light to the Greek power utility’s plan to raise up to EUR 1.35 billion (USD 1.56bn) through a share placement aimed at supporting its renewables expansion.
The Greek company intends to issue between 130 million and 150 million new shares at a price ranging between EUR 8.50 and EUR 9 apiece. The plan is part of PPC’s plan to raise its nominal share capital through a private institutional placement and a public subscription.
The combined deal will lower the Greek state’s 51% majority to a blocking minority. In September, sovereign wealth fund Hellenic Corporation of Assets and Participations (HCAP) and its investment advisory arm Hellenic Republic Asset Development Fund (HRADF) said they planned to trim their stake in order to raise both the free float and private participation in PPC.
The share offering received the shareholders’ nod in October. The final offer price will be set after the bookbuilding for the institutional placement is completed.
As it announced previously, PPC will use funds from the share issue to support its capital expenditure plan in 2022-2026 via which it aims to grow its installed renewables fleet to 9.1 GW and move away from coal.
(EUR 1.0 = USD 1.156)
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