ECONOMY

In Brief

Aegean Airlines shares surge on debut Shares in Greek carrier Aegean Airlines which went public in late June, gained 22.37 percent on their debut on the Athens bourse yesterday. The first airline to list on the Athens bourse, Aegean, which competes with Olympic Airlines on domestic and international routes, went public at 7.60 euros a share, raising 136 million euros. The IPO price translates into a market capitalization of 542 million euros for the carrier. The airline offered 25 percent of its share capital, issuing 17,854,280 new common registered shares. It said it will use the IPO proceeds to finance new aircraft for its fleet and route expansion. «The market is looking to the future and, based on Aegean’s ambitious business plan, the valuation is attractive,» said analyst Angelos Chorafas at Eurocorp Securities. (Reuters) Garganas warns of impact of US sub-prime mortgage market European Central Bank Governing Council member Nicholas Garganas yesterday warned of deterioration in the US sub-prime mortgage market and a sharp correction to global imbalances, during a speech on the international monetary system to the British-Hellenic Chamber of Commerce in Athens. «There are indications of a qualitative deterioration in the market for sub-prime high-yield mortgage loans in the US. Even though the impact up to now has been limited, the problem may intensify and expand to other markets.» (Reuters) Hygeia in Albania Greek private hospital Hygeia’s first clinic in Albania is expected to open in Tirana at the end of 2008, and will be the first private such facility in the country. The project, which will cost 40 million euros, has been assigned to Greek construction company Terna. Hygeia has plans for expansion into a number of Mediterranean and Southeastern European countries, including Morocco, Egypt, Oman, Bulgaria and Romania. Turk markets ease Turkish markets weakened yesterday in profit-taking as investors continued to weigh up the political outlook after this month’s election, with mobile phone operator Turkcell falling sharply. Market sentiment was knocked by losses in global markets as the US high-risk mortgage sector problems triggered concerns about the economy in general. The lira ended at 1.2935 against the dollar on the interbank market, weakening 0.3 percent. The main share index closed 0.99 percent lower at 50,055.54, adding to a loss of 1.4 percent a day earlier. (Reuters) Ericsson wins Cyprus order Telecoms equipment giant Ericsson said in Stockholm yesterday that it had won an order to supply its GPON optical network solution to the Cyprus Telecommunications Authority. Ericsson gave no financial details of the order, which will see the firm deliver central office optical equipment and passive infrastructure, such as fiber systems and cables. Hellastat-Reuters Business information service Hellastat has signed an agreement with Reuters to provide the agency’s terminals worldwide with detailed financial data on companies listed on the Athens bourse, the firm said in a statement.