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China State Grid seals purchase of stake in Greek utility

  • Region:

    Greece, China

  • Sector:

    Energy

  • Deal Size:

  • Buy Side Company:

    State Grid International Development Ltd
  • Sell Side Company:

    ADMIE
  • Target Company:

China's State Grid, the world's biggest utility, signed on Friday the purchase of a minority stake in Greece's power grid operator ADMIE, China's second big investment in the debt-laden country in a matter of months. ADMIE was fully owned by Greece's state-owned power utility Public Power Corp. (PPC). Shareholders of PPC cleared last month the $334 million sale of a 24 percent stake in the operator to State Grid. The deal comes after Greece sold earlier this year a 51 percent stake in its biggest port, Piraeus, to China's biggest shipping company COSCO Shipping for 280.5 million euros. In a signing ceremony in Athens, State Grid said Greece was a market of strategic importance and its investment in ADMIE, Greece's independent power transmission operator, would boost the company's prospects. ADMIE's sale is part of Greece's international bailout, with the leftist-led government agreeing with lenders to spin off the operator while keeping it under state control. Greece has to conclude the plan by March or fully privatize the grid, a possibility which Panagiotakis has ruled out.

Tags:

ADMIE,China's State Grid,COSCO Shipping,Public Power Corp,M&A,Mergers & Acquisitions,Energy,Utility provider,Power,Power Grid