Rédaction Africa Links 24 with Guardian Nigeria
Published on 2024-02-02 13:14:57
Athens International Airport successfully launched a public sale of a 30-percent stake, which demonstrated strong demand and investor confidence in Greece’s recovering economy. The initial public offering (IPO) was oversubscribed twelvefold, raising 785 million euros following its launch on January 25. The shares are expected to begin trading on the Athens stock exchange on February 7. Finance Minister Kostis Hatzidakis expressed optimism about the potential for attracting more investments and achieving dynamic growth through these initiatives.
This successful sale stands in contrast to the global trend of dampened demand for IPOs over the past two years, as highlighted by the financial data platform Dealogic. The amount raised on stock markets worldwide dropped from $173 billion in 2022 to just $121 billion. Despite this trend, Greece’s economy has been steadily recovering following the decade-long debt crisis that officially ended in 2018. The return of the Mediterranean country to investment grade by US credit ratings agencies Fitch and S&P Global Ratings last year reflects the progress made in its economic recovery.
In 2023, Athens airport recorded over 28 million travelers, marking a 24-percent increase over the previous year as tourism rebounded following the Covid-19 pandemic. The IPO’s final offer price was set at 8.20 euros per share, at the top of the initially announced price range, implying a market capitalization at listing of 2.46 billion euros. Demand for the IPO exceeded 8.6 billion euros, indicating strong interest from investors.
Looking ahead, Greece aims to raise 5.77 billion euros through privatization in 2024. This goal aligns with the government’s efforts to attract more investments and foster dynamic growth in the country’s economy.
In conclusion, the successful public sale of a 30-percent stake in Athens International Airport reflects strong investor confidence in Greece’s economic recovery. With the oversubscribed IPO raising 785 million euros and shares set to start trading on the Athens stock exchange, the country is well-positioned to attract more investments and achieve dynamic growth. As tourism rebounds and the economy recovers, Greece’s plans for further privatization in 2024 indicate a commitment to sustaining its economic progress.
