Inside stories

As if something moved yesterday in the stock market and we came out of the lethargy of the last month.

One the introduction of the Bank of Cyprus, one the leaks about the National Bank package, the transaction thermometer rose a little.

Are you saying that Arapoglou’s presence on the market reminded of other times? The banker who left his mark on the National has a heavy history.

I’m exaggerating of course. The catalyst is the placement in the National and everything revolves around it.

The meeting between Arapoglou and Stournara

However, immediately after the… “bell” at the Athens Stock Exchange, which marked the return of the Bank of Cyprus to Athens Avenue, Takis

Arapoglou together with Panikos Nikolaou had a meeting with Yiannis Stournaras.

That’s why they had to leave the Stock Exchange room one after the other, leaving the journalists… slightly disappointed that they didn’t get a chance for a one-on-one meeting for further details.

Mr. Arapoglou, however, speaking at some wells before the start, expressed himself positively about the progress of the Greek economy, after the vicious circle of the Memoranda, but also about the Athens Stock Exchange.

The digital age

Regarding the Bank of Cyprus’ goals, the bank’s executives stated that the priority is the financing of large businesses and shipping, while the development of a branch network does not seem to be included in the plans. At least at this stage.

Everything is now done from the mobile phone…

Guerrilla activity continues in New Democracy

I wrote to you a few days ago about the government MPs who are in opposition. Since there is no official opposition, they said to raise their own flag.

The tactic will continue, as I learn. And this time the signatories will be more. I have counted 25, but more names may be added.

So the next question that will be asked will be about energy prices.

Electricity bills “burned” again in August, when energy needs were high.

Of course, the prime minister asked for help from Ursula, but she referred… to the plan to deal with climate change. Another one…

What are they asking for?

In essence, however, what the signatories are asking for is… visibility.

This is what they tell me, expressing their dissatisfaction with how Maximos works. Especially the non-parliamentarians.

The elected representatives of the party cannot be bypassed and a closed group decides on policy, they convey to me.

And to tell the truth they are right.

Do you remember what I told you on the eve of TIF? That none of the government MPs knew what to say about Maximus’ intentions?

Well… this is coming out little by little.

Stale… balance sheets

However, in addition to energy prices, I will also make a proposal to the late opposition parties.

To ask a question about the unprecedented phenomenon for a country in the Western world… regarding the publication of financial statements.

Because we are talking about delays of one or two years!

We are not talking about companies listed on the Athens Stock Exchange. These are required to publish at regular intervals. We are talking about those who are off the board.

“Even multinational giants cannot fail to publish their financial data on time. It is unimaginable…”, notes a leading banker.

These companies write on the oldest of their shoes every principle of transparency and proper operation of the market, he adds, stressing that you cannot know the real situation of the company since the data is… to say the least stale.

And they don’t capture today’s picture.

Is anyone there in the government listening?

The hottest market

Crete is one of the most important tourist destinations. This is known. As it is also known that the Cretan tourist season extends until the end of October – possibly even later for some.

And the famous Cretan diet makes many… gels inside and outside of Greece. As you can imagine, the Cretan market is the hottest market in Greece. And this despite its small size compared to other areas!

The highest growth

I am referring to the consumer goods market and in particular to the supermarket sector.

In fact, according to Circana’s data concerning the 12 months July 2023 to July 2024, the Crete market is “running” with a growth of 5.3%.

The highest rate of all other regions of the country – consider that in second place is Northern Greece outside of Thessaloniki with 4.9%, while Attica “struggles” with 2%!

Masoutis and Sclavenitis

And of course all the big chains of the sector are “crowded” in the Cretan market. Of course, the “lion’s share” is occupied by Masoutis and Sklavenitis.

And this is because the first managed to cooperate in terms of shares with SYNKA – it owns 50% – whose main strength is in the west of the island, in Chania, and the second to acquire, from the still difficult years of the crisis, the share held by Veropoulos in Minas Chalkiadakis SA whose strength is in the east, in Heraklion.

All present

From there on, of course, Metro AEVE, AB Vassilopoulos – which had bought the Plus network – and of course Lidl have a presence.

Of course, the retail or even the wholesale market of Crete is one side, the other is the small productive food businesses, which operate in almost all prefectures of the island.

Lidl and AB

Lidl has made good use of this market for the production of private label products (olive oil, nuts, breadcrumbs, etc.). Oh no, but AB Vassilopoulos also acts accordingly.

And it will soon introduce its partners. Well, the two big ones use them anyway because of the strong network they have. Crete in its glory…

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The next “Battle of Crete”

Of course, in Crete, supermarkets are not the only ones fighting. But also many who want the casino in Gournes. The last assets of the Reds (Ellaktor).

In the coming weeks, the Gaming Supervision & Control Committee (EEEP) will even look for the consultants.

The interest is huge, not only from local prominent players, I learn, but also from others in the eastern Mediterranean.

After all, the tourism that Crete has is the great guarantee of the success of the venture.

After all, it was not by chance that MEP Giorgos Avtias said that tourism is… a frigate of the economy….

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Another big project

Of course, the utilization of the “little Hellinikon”, as the project in Gournes has been called, is not the only thing in progress, as the utilization of the EKPA’s real estate will also start very soon.

In fact, it has been taken over by the experienced Marios Tsakas, who was the head of DEDA, one of the gas network companies acquired by Italgas as part of DEPA Infrastructure.

The new project is huge, as the University of Athens has, through bequests, huge real estate, which, as I learn, can also be used for tourism.

As long as he doesn’t get “entangled” in time-consuming bureaucratic procedures…

The CEO of DEPA Emporia, Kostas Xifaras, I learn that he is speeding up the green transformation of the company, seeking in this way the further verticalization of the group.

This is how the competitions for the first photovoltaics are in the air…

The contests

I learn that these are two tenders concerning the development of photovoltaic parks with a capacity of 500 MW.

And as commented on the market, the fact that DEPA Emporias came out with a large portfolio of 500 MW projects on the market also shows the determination of the Xifaras management to quickly run its evolution into a vertical group.

The first tender amounts to 239.8 million euros and the second has a budget of 56.9 million euros. They reach 300 million euros and the total portfolio of photovoltaics comes from North Solar, which DEPA Emporias had acquired about two years ago.

Crowding

As I am informed about the two tenders, there is a crowding of large and small construction companies in order to submit offers.

Perhaps for this reason, according to my information, the two competitions before well, well started were extended. The original date was set for today, September 12, and the new deadline that was decided is September 27…

Mr. Xifaras is not the only one running

In this sector, however, I learn that the Greek billionaire George or George Sakellaris is also very active.

The president and CEO of Ameresco Sollar, with a market capitalization of 1.6 billion on the Nasdaq, is now in close cooperation with several “big men” in the energy sector in Greece.

In the last 4 years, it has undertaken various wind and photovoltaic projects, through subsidiaries, while “running” three large ones recently.

In fact, I learn that he is particularly interested in the Southern Peloponnese, near his birthplace, especially in Laconia and Messinia.

In fact, at the end of August, he also threw a big feast in his village, Vassara Spartis.

The mayor of Kalamata and the president of the Peloponnese Chamber of Commerce were also there!

The needs are growing…

Of course, in another region, among the abundant wine that once flowed and was called Savvatiano, they prefer other… “cultures”.

These are now called data centers.

And I’m clearly talking about Mesogeia, which once had some of the best wines in Greece.

So after Microsoft, Data4 announced a large investment of 300 million euros for the development of a new data center campus.

In Peania

The new campus will be built on a plot of land in Peania and will be powered by up to 90 MW.

Approximately 500 people will be employed as permanent staff.

The seal of bankruptcy

Of course, at the other end of mainland Greece, things are not too rosy.

Especially in the once strong industrial area of ​​Kilkis.

When the TIF lights will have gone out and the businessmen will have returned to their base, on October 2nd the Kilkis Court of First Instance will approve another bankruptcy, largely predetermined.

The textile industry is dying out

I am obviously talking about Fieratex, of the Anezoulakis brothers. And the administration may be talking about banks refusing new loans or regulating existing loan obligations, which have become overdue (2 million out of 5 million in total), but the problems are structural.

For the whole industry and not what’s left of it.

The market does not forget the Greek Textile Industry (Akka), the Clonatex (Lanara) and the Naoussa Spinning Machines.

After all, Varvaresos’ path towards bankruptcy does not seem to be averted, while Epilectos is also recording large losses.

Northern Greece is sick and the workers (?) who want to stay in the region are also sick.

And we are still discussing the benefits of the workers in Varvaresos.

Again, it’s good that there is also Kri-Kri

Again, it’s good that there is also Kri-Kri and something is moving in Northern Greece. With most of its turnover, of course, from abroad, while it is also preparing for the American market.

With six new codes, it will unlock a market that if anything has been targeted by many.

Evangelos Mytileneos flashed again

Evangelos Mytileneos also sees this and of course much more and once again rang the bell in Brussels.

To the theoretical economists of Brussels, who have long since moved away from reality, as he himself mentions.

And they must listen to him, because his weight is not limited to the leadership of Metlen Energy & Metals, he is also the President of Eurometaux.

The occasion this time was the Mario Draghi report on the competitiveness of Europe.

“Europe cannot afford to treat this report as a passing social media flare,” he said.

The “support” of JP Morgan

The new analysis of JP Morgan on Greece caused me a feeling.

I remind you that the American bank is the consultant and leader for the international coordination of the disposal of the remaining 18.39% of the National Bank.

JP Morgan, therefore, published an analysis and more or less said that it does not see any other catalysts for the Greek market.

He also said that the recovery trade of Greek banking stocks has come full circle, with their valuations having largely closed the gap with those of European banks.

At the same time, the management of the National Bank is in London on a roadshow, presenting the bank’s prospects to investors.

He reinstated the recommendations for the upgrade of the AXA

The equally interesting point of JP Morgan’s analysis is that it reiterates its position on a possible upgrade of the Greek market to the developed ones.

He had mentioned it last spring, he said it again.

“A bad idea will ruin a good stock market” (Greece: Don’t let a bad idea ruin a good stock market)… don’t let it.

And this prompt came a few hours after the management of HEXA explained to the Union of Institutional Investors the benefits of the upgrade.

The Bank of Cyprus is now entering the final stretch for Athens Street, after receiving the approval at the Extraordinary General Meeting of Shareholders.

The (re)introduction to the AXA will take place on September 23, with the price being based on the closing of the share on the previous day on the Cyprus Stock Exchange. I remind you that today the share is around 4.80 euros.

The message to Greece

All is well with Cyprus, that is. The ASE will have one more representative of the banking industry on its board.

But what struck me is what my industry source told me.

The experience of Cyprus in London should give a message to the Greeks.

What did he mean?

What the experienced banker and Chairman of the Board of the Bank of Cyprus, Takis Arapoglou, actually said.

The delisting from the London Stock Exchange and the re-introduction of the shares to the Athens Stock Exchange will give the possibility to strengthen the liquidity of the Bank’s shares.

It will also enhance its awareness among investors.

What did Mr. Arapoglou say? Better in Athens than in the “ocean” of London.

Many thought so

Of course, Mr. Arapoglou did not say anything that is not known in Athens.

But as my source commented to me, are the Greeks betting on an upgrade of the Greek stock market in the developed markets to see it again?

After all, JP Morgan says it again and again. “You have a good stock market, with an emphasis on emerging.” In the developed ones you will get lost… “bad idea” said analyst David Aserkoff again.

Not a leaf moves…

Of course, if someone talks recently in the market that everything is positive, at least the Greeks in retail will not agree.

And despite the new barrage of positive reports on Greece and Greek banks that we’ve had in recent days, the stock market… hasn’t moved much.

It probably got tired this week as well, gnawing even more at any remaining buying interest. That’s where we see the 1,400 units again, despite yesterday’s reaction.

Clarity is requested from the National

And as Jefferies said, it all has to do with the uncertainty surrounding the impending placement of the Financial Stability Fund rate at the National Bank.

Because when the market does not know the price and the final percentage that will be given, then it binds liquidity.

Until further notice… so the “torture” of the drop for longs will continue.

After all, it is not only the placement, but also the large public offerings and capital increases that will be completed in the Autumn.

The bill will reach 2.2 billion euros.

Loans to businesses only

However, beyond the positive comments from the analysts, I was impressed by what Goldman Sachs said.

That for Greek banks, the main driver of credit expansion will be corporate lending.

For households… no reason.

And from 2027, the “greening” of non-performing exposures will also “play”.

What is Eurobank preparing?

At Goldman Sachs’ 12th annual banking symposium held in London on September 9 and 10, Eurobank also outlined its next steps.

It is already in review of two inorganic growth opportunities.

One is in a Merchant Acquiring & Financing company via POS in Western Europe (with a partner) and the second is a Wealth Management business in the Eastern Mediterranean.

Isn’t Greece also in the Eastern Mediterranean? Eurobank is probably preparing something based on Cyprus and looking towards the East.

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Malls did not “die”.

There can be a lot of criticism of mall returns, but a closer look at Lamda Development’s numbers, which had a 72% increase in operating profit in the first half of 2024, shows a different picture.

In the malls of the group, namely The Mall Athens, Golden Hall, Designers Outlet and Mediterranean Cosmos there is an increase in traffic, record sales of the stores, an increase in parking revenue and an increase in rental income.

This is how the increase in commercial leases in the under-development commercial and entertainment projects in Elliniko is justified…

Watch out…it’s getting demolished

The way is now open for the demolition of the last two floors of the Cocomat hotel in the Makrygianni area, below the Acropolis.

The SC rejected Blue Cedars’ argument that it built under a valid building permit (which was subsequently revoked) as the permit had not been legally issued.

However, nothing changes for Blue Cedar.

The prediction has been made in her “books” and now she will “run” her other projects.

Among them, the tourist unit in Monemvasia stands out, as well as residential complexes in Ampelokipi, Athens.

Retsos in IOBE

In the coming days we will have announcements about IOBE as well.

As we are informed, the new council was closed, with the position of the new president being taken over by Yiannis Retsos.

The former president of SETE, that is, and managing director of the tourist company Electra Hotels & Resorts.

The former president of SEB, Dimitris Papalexopoulos, will also participate in the upgraded Board of Directors.

In other words, we will see a new group, younger in age, which will further strengthen the institutional role of IOBE.

Along with the dry ones… the green ones will also burn…

The government’s new amendment is positive, with the possibility of retroactive correction of errors in decisions of the tax office that have been issued in the last ten years.

In simpler words, the Tax Office will proceed with the cancellation of taxes and fines imposed due to obvious mistakes, retroactively from January 1, 2014.

As I understand, the amendment came after two glaring cases, indicative of the mistakes.

The first involved an error in the declaration with the taxpayer adding two… zeros to his income and the second in an E2 where the taxpayer got the boundaries of her plot wrong and was found to own a large part of a municipality in Attica.

This I know… and I do not swear if with the obvious mistakes, a window of opportunity does not open in other cases.

A little more suspicious…

The “mill” of the Oscars

The fact that it would become such a “mill” with the Greek representation at the Film Oscars, really… no one expected it. Of course, here in our country we are divided even about Eurovision, would the Oscars stop us?

However, such anger was caused by the history of the film’s selection committees, the resignations of the members and the disciplinary actions, which probably “justified” the attack with paints on the political office of the Deputy Minister of Culture, Jason Fotila in Patras.

Incredible things are born by the methods of some…

The full fine

And one last thing, we learn that the fine from DIMEA to Golgate Palmolive of 672 thousand euros for unfair profiteering was finally paid in full.

The debt identification came after July 31, 2024 when the company’s financial statements were signed.

We’ve seen that in this country as well… industry turning against industry.

And I’m talking about the conflict between private clinics and insurance companies.

In fact, in the summer, a large group of private clinics sent an out-of-court letter to the Association of Insurance Companies, warning them to take legal action against the accusations made by representatives of insurance companies that they are responsible for increases in insurance premiums.

“Scapegoat”

What has happened? Representatives of the insurance companies “show” the private clinics as being responsible for the increase in insurance premiums.

In fact, heavy talk of a cartel has been heard, in an attempt to tone down the tone with customers – insured people who are protesting about the increase in insurance premiums.

But dropping the tones with the customers, they raised them dangerously, they convey to me, with the private clinics.

I remind here that exorbitant increases in health insurance premiums, especially in the old insurance companies, ranging from 12% to 15%, have been reported recently.

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The “campaign” of Schertsou…

I learn that Maximos has been trying to allay concerns about the enormous trade deficit lately.

In fact, the “mission” has been undertaken by the Minister of State, Akis Skertsos, who is trying to “advertise” the export performance of the country.

He even sees that the production of export products is on an upward trajectory in recent years … but he does not talk about the extraordinary taxes and the complex framework in which all these companies he cites are called.

I don’t know, in fact, to what extent it is positive in a five-year period when the GDP of the country increased by more than 22%, the industrial and manufacturing production in our country has increased by 2 units.

This question probably has no answer…

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But he must find…

For better or worse, he must find answers by at least October 24, when the open event of the Annual General Meeting of the BSE will take place.

This will also be the “first” of the new president of SEB, Spyros Theodoropoulos, who will openly advocate for the reconstruction of the production model and bringing the industry back to the fore.

It is possible that there will also be a guest from the business sector outside the borders…

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Two speeds

And if things in heavy industry are not so rosy, this does not mean that “light” is doing better.

And when I say “lightly” I mean retail.

It is well known that the market – especially of consumer products – consists of two speeds.

In the first are the multinational groups. Known! Which also control the lion’s share.

In second gear are – mainly – the medium-sized Greek production companies.

Where their presence has shrunk. And this is known!

But as a market source with an excellent view of things told me, the commercial policy of the two “components” is – necessarily – different, given that each has different capabilities and margins.

Family friendly

The first, the large category, presumably consists of commercial enterprises, whose cost burdens are limited.

Pricing is done by the parent group – within the “family” that is.

The second category is exposed to all the “winds that blow” in the national and international market.

Survival rates

As the specific producer told me, many Greek production companies during the last few months have proceeded with price increases, effectively transferring to the retail price the burdens that have been incurred in the previous stages of production – raw material, energy, transport costs, labor costs.

These are survival rates!

And of course they have suffered the “penalty” of the legislation. In other words, they cannot offer offers for the specific codes for a period of three months.

The bouyurdi!

Of course, he also noted – irritated being – that “accuracy is not only the prices in supermarkets, but also in many other categories of services”. Makes sense.

But the Minister of Development Takis Theodorikakos mentioned in an interview, among others, that 26 companies – mainly multinationals, but not only… – are under the control of DIMEA.

And I bet – I think for sure… – that soon names and fines will come out.

These polls that push, push, push… are also dishonest.

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Avramar’s hourglass is emptying

The time for submitting binding bids for the acquisition of Avramar is counting down.

Sources in the know say that prospective investors will have to submit their final proposals between September 15 and 20.

The same sources state that in addition to the two schemes considered to be schemes from Spain and the Middle East, it is not excluded that there will be a third from the domestic market.

However, until this moment, the candidates ask for and receive information about the financial situation of the company and the course of its sales.

“Haircut” of loans

However, the “haircut” of bank loans will play a catalytic role in the new effort to consolidate the fish farming sector, because this is what Avramar is a leader in the field.

Without this, as reported by people who know people and situations, there is a risk that we will again discuss about… rescuing the company in a few years.

They point out that the whole process of changing the ownership status should be done as quickly as possible, since the company’s liquidity is on a razor’s edge.

The money from the mezzanine funding he received starts and ends….

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The second life of THES Gala milk ATMs

Remember milk ATM’s? The vending machines set up in Attica by the cooperative THES Gala during the crisis?

This project, which was a great success in the Greece of the Mnemonia but ended up collapsing, is being attempted to be revived by the Kantonias family.

Thessalian businessmen who control the Cosmos Aluminum industry have acquired the brand and production unit of the cooperatives and are preparing to relaunch the dairy products.

Of course, there is no reason to relocate the ATM’s. This venture failed. The sale will be made through supermarkets and grocery stores.

That is, through the orthodox road, where millions of consumers attend every day.

Information indicates that the family’s aim is to enrich the range and implement investments to modernize the production lines.

To their interlocutors, the Thessalian businessmen who fully took over the business 4 to 5 months ago acknowledge that it is a difficult business with small profit margins and huge turnover.

In the next period, as we learn, a business plan is expected to be drawn up, where the strategies and goals will be specified.