Now Euronext additionally reaches for the Athens inventory trade | EUROtoday

The European inventory trade group Euronext is now additionally taking on the inventory trade in Athens. The firm, primarily based in Paris, has knowledgeable the house owners of the listed “Hellenic Exchanges – Athens Stock Exchange Holdings Company Limited” (Athex) in informally a takeover supply of as much as 100% of the capital. After the supply grew to become identified within the type of a inventory trade, the paper of the inventory market operator in Athens elevated by round 15 % on Wednesday. It thus reaches the quantity of the equal of 6.90 euros per athex share. According to Euronext, Euronext desires to spend a complete of as much as 399 million euros for the acquisition of the Athens inventory trade. At the tip of final yr, 164 firms price 104 billion euros have been listed there.

Athens is a small inventory trade, particularly in comparison with the inventory markets of Paris, Milan, Amsterdam, Brüssels, Dublin, Lisbon and Oslo, which at the moment are a part of Euronext and accommodate firms with a complete evaluation of 6,000 billion euros. However, in line with Euronext, Athens has good views. The supply reveals “The strong trust of Euronext in the development of the Greek economy and its growth potential due to further integration of the Greek capital market into the euro zone and the EU,” stated Euronext. The inventory market group provides that it first wished to hold out an in -depth company check (“Due Diligence”) earlier than submitting an official supply. The discussions of the 2 inventory exchanges on the administration degree are underway.

The capital of the Athens inventory trade is broadly scattered. The largest shareholder is the funding fund American Funds Small Cap World Fund (Class A) with 5.1 %. The authorities in Athens should give its approval as a supervisory authority, however it has already signaled it. The Ministry of Economic Affairs and Finance “is very positive about the possibility of an agreement,” stated it. Ten years in the past, Greece needed to introduce capital controls as a result of the monetary collapse threatened due to the debt disaster. Today, “a possible takeover of the Athens stock exchange by Euronext would be a practical vote of trust in the stability and positive development of the Greek economy,” stated the Ministry and likewise talked about the alternatives of integration into the European monetary area and better belief by worldwide traders.

The political stability of Greece has been a plus because the authorities of Prime Minister Kyriakos Mitsotakis in 2019. However, varied political scandals have burdened the federal government in latest occasions. It is at the moment beneath stress as a result of the EU agricultural funding for years has been paid to unauthorized recipients with the cooperation of a Greek authority. According to latest data within the Greek media, the very best authorities districts are stated to have identified about it, however haven’t undertaken something.

The Athens inventory trade seems to be again on virtually 150 years of historical past. The market capitalization of the businesses listed there rose by 18 % final yr. The roughly 60 shares of the principle index Composite Share Price Index have climbed to about two and a half occasions the worth since July 2022. The best values ​​embody the Greek banks, in addition to development and infrastructure firms and the previous state lottery and betting supplier Opap.