Euronext bids to buy ATHEX

Euronext, Europe’s largest stock market company and of the biggest in the world, has tabled an optional public offer to acquire up to 100% of the shares of listed multi-share company “Hellenic Exchanges – Athens Stock Exchange Holdings Company Limited” (HELEX), which controls and manages the Athens Stock Exchange (ATHEX) group and the Greek capital market.

The management of the Greek holding company is in talks with Euronext about the proposal after the HELEX board of directors were notified about the intention by Euronext to bid, so as to express its opinion on it to shareholders.

No HELEX shareholder controls more than 5% of its share capital, except for the listed foreign investment fund American Funds Small Cap World Fund Class A (5.09%). On the contrary, there are many shareholders with stakes below 5%, including large foreign investment banks, investment funds, foreign mutual funds, as well as Greek and foreign banks. 

The pending Euronext proposal has the blessing of the government, which was aware of the development from the outset, Kathimerini understands. Government sources, however, clarify that “this is an issue concerning a transaction between private parties” and therefore, beyond the favorable treatment of the development, they do not express any other opinion. 

In the background, however, both the prime minister and the national economy and finance minister appear particularly satisfied, as they estimate that this way the Greek capital market will gain greater depth, attractiveness and access to international capital, expanding its role as a financing mechanism for the Greek economy.

In its announcement the ministry said it “views the possibility of an agreement very positively,” as the bid “constitutes a practical vote of confidence in the stability and positive course of the Greek economy.”

This offer will be structured as an exchange of shares, which will be priced by HELEX at 6.90 euros per share, valuing the entire company at €399 million. 

Kathimerini