Viohalco set to merge cable and pipe firms


TAGS: Business, Markets

Seeing the growing global demand not only for underground and underwater cables but also for natural gas pipelines, Viohalco is moving ahead with the absorption through a merger of its two listed subsidiaries Hellenic Cables and Corinth Pipeworks from another subsidiary, Belgium-based Cenergy Holdings, by the end of the year.

Through this new vehicle Viohalco aspires to create a strong international company that will have all of the above activities merged, take advantage of synergies, enjoy international promotion, be able to draw funding and be able to guarantee the adept implementation of the projects it will undertake.

The move will lead to the optimum utilization of the major investments that Corinth Pipeworks and Hellenic Cables have implemented in Greece, adding up to 200 million euros in the last five years.

Kathimerini understands that all of the two companies’ plants and jobs will be maintained, while the new company will be based in Belgium, with parallel listings on the Brussels and Athens stock exchanges.

Parent company Viohalco transferred its headquarters to Brussels in 2013 and is listed on Euronext – the pan-European exchange market – as well as on the Greek bourse.