Fund bids for Piraeus’s stake in Attiki Odos

The Piraeus Group is said to have received a bid worth 50 million euros for its 9.8 percent stake in the consortium that operates the Attiki Odos ring road around the Greek capital.

Following months of hard work, Piraeus Bank seems to have secured a proposal by the Davidson Kempner private equity fund.

Sources say the Ellaktor and J&P Avax construction groups, the consortium’s other stakeholders, have until the end of November to decide whether to table an equal bid and purchase the stake themselves; this is not unlikely, given that extended talks took place a few months ago for that very purpose.

Through its Aktor Concessions subsidiary, Ellaktor controls almost 60 percent of Attiki Odos, while J&P Avax has another 30 percent, and if they are willing to match the offer by a non-stakeholder they have the right to acquire the Piraeus stake.

Market sources estimate that the existing bid is clearly more attractive and realistic than the bank’s estimates, especially if one recalls that last April the first auction for the stake failed to fetch the 90-100 million euros Piraeus had been hoping for.

Attiki Odos recorded profits of 68.8 million euros last year, up 54 percent from 44.7 million euros in 2016.