Greece aims at 6 bln euros in privatisations revenues by 2018 (updated)

Thessaloniki Port Authority SA

06/07/2017 14:39

(Adds quotes, background, Greek think-tank report) 
    By Angeliki Koutantou 
    ATHENS, July 6 (Reuters) - Greece aims to raise a total of 6 
billion euros ($6.83 billion)from privatisations by 2018, the 
head of its privatisations agency (HRADF) said on Thursday, 
making up for a revenue shortfall last year and hoping to 
overperform its latest bailout target. 
    Privatisations have been a major part of Greece's three 
international bailouts since 2010, but political resistance and  
red tape have hurt revenues. Athens has raised just 4.4 billion 
euros so far and has repeatedly revised targets downwards. 
    The country raised 500 million euros from asset sales last 
year, missing its bailout target by about 2 billion euros, 
mainly due to delays in completing the lease of 14 airports to a 
consortium led by Germany's Fraport  FRAG.DE .  
    The 1.2-billion-euro lease of regional airports was 
completed this year. Along with the sale of a 67 percent stake 
in Thessaloniki Port  OLTr.AT  and a first 345-million-euro 
tranche from the lease of the former Athens airport Hellenikon, 
the lease will help Athens raise 2 billion euros in total this 
year, HRADF's chairwoman Lila Tsitsogiannopoulou said. 
    "Our aim is to have the financial closing of the 
transaction(for Hellenikon) in December 2017," 
Tsitsogiannopoulou told reporters. 
    A consortium of Abu Dhabi and Chinese investors backed by 
conglomerate Fosun, led by Greece's Lamda, signed a deal in 2014 
to develop the Hellenikon coastal area. 
    The consortium will pay a total of 915 million euros ($1.03 
billion) to lease the site, which is three times the size of 
Monaco, and the plan is to turn it into one of Europe's biggest 
coastal resorts. 
    For next year, the agency aims to collect 3.5 billion euros, 
mainly from the sale of a 30 percent stake in the Athens 
International Airport (AIA), a 5 percent stake in its biggest 
telecoms operator OTE  OTEr.AT  and stakes in several energy and 
water utilities, Tsitogiannopoulou added. 
    Greece's international lenders see a total proceed of 5 
billion euros by 2018 from privatisations, according to the 
latest updated version of its bailout.   
    In its quarterly report, Greek think-tank IOBE said 
Hellenikon and other privatisations are expected to boost 
investments considerably next year.  ID:nA8N1IH01Z  
 
 
($1 = 0.8786 euros) 
 
 (editing by Richard Balmforth) 
 ((karolina.tagaris@thomsonreuters.com; +30 210 3376 469; 
Reuters Messaging: karolina.tagaris.reuters.com@reuters.net)) 
 
Keywords: EUROZONE GREECE/PRIVATISATION