Expectations run low on investments
The combination of expensive money, inflation and possible recession has made investors much more cautious. Investment deals, mergers and acquisitions will not be as significant this year, and investors are expected to look to sectors with more guaranteed returns, such as real estate, construction and energy. The value of business deals, which in 2021 approached 12 billion euros, is estimated to be smaller this year.
“In 2022, compared to 2021, there will be a decline in investments, as a result of the hesitancy of investors attributed to the increased cost of money and the liquid environment,” notes Stefanos Charaktiniotis, partner and head of the mergers and acquisitions department of the Zepos & Giannopoulos law firm.
Therefore, he adds, “this year we expect a drop in the volume and value of investment transactions, with investors mostly taking a wait-and-see attitude and turning to traditional sectors. We expect most investments to come from privatizations, such as Attiki Odos, green energy and property.”
Greek funds are also looking for opportunities, while investors are positioning themselves in tourism, targeting distressed assets.
