Greece: Fast track for renewed PPC lignite sale effort

The revised framework for a follow-up sale attempt of Greek main power utility PPC lignite units, included in an energy ministry draft bill to be submitted to parliament, is expected to be driven by a fast-moving schedule aiming for the procedure’s completion by early May.

Sources have not ruled out a relaunch of the bailout-required sale midway through next week, offers ahead of Orthodox Easter (April 28), and an endorsement of the result at a PPC shareholders’ meeting on May 8.

Besides the procedure’s short time span, which could end up subduing investor offers, revised terms agreed to by the energy ministry and the European Commission’s Directorate-General for Competition for the renewed sale attempt include a profit-and-loss sharing arrangement between PPC and investors for two years.

The Megalopoli and Meliti lignite-fired facilities included in the sale package are believed to have been loss-incurring in the lead-up to the sale.

Evaluation procedures have also been revised for the new sale attempt, sources noted.