Greece's PPC mulls EUR-750m share issue to back renewables growth

Greek power utility PPC SA (ATH:PPC) plans to launch a EUR-750-million (USD 878.6m) share issue to support its capital expenditure plan for 2022-2026 via which it aims to grow its installed renewables fleet to 9.1 GW.

“The share capital increase will enable PPC to complete its ambitious transformation plan that started in 2019 and already yielding tangible results, as well as accelerate its transformation into a financially and environmentally sustainable, modern digital utility,” chairman and CEO Georgios Stassis said on Thursday.

The Greek utility is currently implementing a plan to phase out its coal-fired power generation capacity and green up its power mix. By 2026, its goal is to have 9.1 GW of renewable power plants in operation, including hydropower stations.

PPC intends to sell the EUR 750 million worth of stock in a public offering in Greece and a private placement to institutional investors outside its home country. It will determine the selling price through a bookbuilding process, it said, adding that the offering will be most likely conducted on a non-pre-emptive basis but a priority allocation mechanism for existing shareholders may be applied.

Apart from renewables, the raised funds will back PPC’s plan through 2026 to expand its business into markets in Southern Europe and enhance its capital structure.

PPC’s shareholders will vote on the share issue proposal at an extraordinary meeting on October 19.

(EUR 1.0 = USD 1.171)

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