The privatization of the natural gas and low- and middle-voltage power networks is entering the home stretch.
Barring a surprise, the Board of Directors at Greece’s Asset Development Fund, TAIPED, will unveil the bids for DEPA Infrastructure, the operator of the natural gas network, submitted on July 15 by Italgas and EP Investment Advisors. The two companies will buy 100% of DEPA Infrastructure. On Friday, power company PPC will be awaiting the submission of bids for a 49% stake in Hellenic Electricity Distribution Network Operator, also known by its Greek acronym DEDDIE.
According to the TAIPED webpage, DEPA Infrastructure contains parent company DEPA’s (Public Gas Corporation) participation in the entities acting as operators of Natural Gas Distribution Networks, i.e. EDA Attikis SA, EDA Thessalonikis – Thessalias SA and DEDA SA, with all rights and obligations attached thereto; DEPA’s ownership rights to distribution networks; the fiber-optic network previously owned by DEPA; and the rights and obligations of DEPA with respect to the development, design and implementation of projects for the infrastructure of distribution networks.
In the case of DEPA Infrastructure, the battle between the two powerful European bidders will likely not be resolved tomorrow, because, according to the bidding rules, if the two bids differ by less than 15%, TAIPED will ask for improved offers. If the difference is greater than 15%, then it will ask the highest bidder for an even higher bid.
Recently, Hellenic Petroleum CEO Andreas Shiamishis had claimed his company’s 35% stake in DEPA Infrastructure (TAIPED owns 65%) was between €250 and €300 million.
The winning bidder will be committed to carrying out a €560 million investment program over five years, including building 2,724 kilometers of pipelines.