Public Power Corporation (PPC) on Tuesday received shareholder approval for a share offering that will see the state lower its controlling stake to a blocking minority.
PPC plans to launch a non-preemptive share offering to institutional and domestic retail investors later this month, aiming to raise about 750 million euros.
Τhe plan, put to vote at a virtual shareholders’ meeting on Tuesday, was approved by an overwhelming majority.
Two state-backed funds, which hold a combined 51% in PPC, have said they plan to reduce their stake to a blocking minority by not taking part in the offering to allow more private investors to step in and boost the free float for the utility.
PPC’s workers walked off the job yesterday to protest against the funds’ decision, which they say would weaken the utility’s welfare policy at the expense of Greek households who face hefty power bills amid spiking energy prices.
But the utility has been firm on its plan, saying it will use the proceeds to ramp up its renewable energy capacity as it switches off its coal plants, part of Greece’s binding plan to cut it carbon footprint in line with the Paris agreement for lower greenhouse emissions.
The shift to renewables is also expected to boost PPC’s operating profit to €1.7 billion by 2026 from nearly €900 million last year.
Shareholders also approved the sale of a 49% stake in Greece’s sole power grid operator DEDDIE, which is fully owned by PPC, to Macquarie. [Reuters]