Category: Greece

  • KG Advises CC Beverages Holdings on Acquisition of Three Cents

    Kyriakides Georgopoulos has advised CC Beverages Holdings II on its EUR 45 million acquisition of Three Cents from S.I.C.C Holding Limited.

    The closing of the transaction remains contingent on regulatory approval.

    CC Beverages Holdings II is a wholly-owned subsidiary of Coca-Cola HBC. S.I.C.C Holding Limited is a wholly-owned subsidiary of Ideal Holdings – a publicly-listed information technology company in Greece. 

    According to KG, “the acquired company is the owner of the popular super-premium mixer product line under the Three Cents brand, offering artisanal beverages crafted without preservatives or artificial colorings.”

    KG’s team included Senior Partner Konstantinos Vouterakos, Partners Apostolos Georgantas, Ioanna Kyriazi, and Elina Georgili, Counsel Maria Spanou, and Associates Marianna Katsifi and Despina Korovesi.

    Editor’s Note: After this article was published, Sarantitis confirmed it advised Ideal Holdings on the deal. The firm’s team was led by Managing Partner Dorotheos Samoladas.

  • Norton Rose Fulbright and Bernitsas Law Advise on Greek National Bank’s Financing of Alexandroupolis Gas Project

    Norton Rose Fulbright has advised the National Bank of Greece on EUR 450 million financing of floating storage and regasification terminal off the coast of Alexandroupolis. Bernitsas Law advised Gastrade.

    According to Norton Rose Fulbright, “the project, which is of great geopolitical importance, will see the creation of a new energy gateway in the region of Greece and southeastern and central Europe through existing and new export routes to Bulgaria and North Macedonia.”

    “The financing, which was completed on June 17, includes a EUR 283 million bond loan and a EUR 166 million state grant,” the firm added. “It covers the construction of the floating storage and regasification terminal, which will regasify natural gas and transfer it to Greece and other areas of southeastern Europe.”

    “This strategically important project will increase Greece’s exports to the markets of southeastern and central Europe, and also enhance the country’s role as an energy hub in the region,” Norton Rose Fulbright Partner Yianni Cheilas commented. “The terminal is also expected to strengthen the security of gas supply while enabling the further diversification of supply sources and the energy transition of Greece, and the wider region.”

    The Norton Rose Fulbright team was led by London and Athens-based partner Yianni Cheilas and included Athens-based Partner Vassilis Koroxenidis, Counsels Dimitrios Rampos and Niki Alexandrou, Senior Associates George Palogos and Eliana Miliou, Consultant Vicky Zampaza, Associate Manos Chamilothoris, and Trainee Konstantina Matzari, as well as a team from the firm’s London office.

    The Bernitsas Law team included Managing Partner Panayotis Bernitsas, Partners Athanasia Tsene, Dimitris Roussis, and Yannis Seiradakis, Counsel Dionysis Flambouras, and Senior Associate Eleni Stazilova.

     

  • Greece: Public Procurement in the Energy Sector – How Does It Work in Greece?

    Public procurement in Greece by entities operating in the energy sector is regulated, mainly, by Law 4412/2016 on Public works, supplies, and services contracts – Transposition of Directives 2014/24/EU and 2014/25/EU. Public tenders are conducted via the National System of Electronic Public Procurement and the award of public contracts must comply with the general principles of the Treaty on the Functioning of the European Union, namely equal treatment, non-discrimination, mutual recognition, proportionality, and transparency.

    The current legislative and regulatory framework on public procurement sets out, inter alia, specific restrictions, conditions, and thresholds for entities operating in the energy sector. In principle, the provisions of the law apply to entities incorporating a public element, including contracting authorities, public undertakings, or entities operating on the basis of “special or exclusive rights granted by a competent authority of a member state.” Entities that fall within the scope of the applicable law need to engage in activities of a certain nature, including “(1) the provision or operation of fixed networks intended to provide a service to the public in connection with the production, transport, or distribution of gas or heat; and (2) the supply of gas or heat to such networks,” and operate within specific predetermined thresholds: “(1) EUR 431,000 for supply and service contracts as well as for design contests; (2) EUR 5,382,000 for works contracts; (3) EUR 1 million for service contracts for social and other specific services.”

    The main challenges in the implementation of the applicable framework first arose when the public procurement sector recently stopped being dominated by merely public entities or entities clearly falling within the scope of the law and gradually switched to accommodating private or recently privatized entities. Although the classification of an entity as public or private can be easily made based on objective criteria such as a lack of state ownership and/or control of management, the law requires further assessment – namely whether an entity may still fall under the category of contracting entities, according to article 224 paragraph 1(b) of Law 4412/2016, as an entity that “operates on the basis of special or exclusive rights granted by a competent authority of a Member State.”

    The Greek Council of State ruled, in Decision 1076/2019, that the transfer of special or exclusive rights to an entity shall affect the exercise of the activity in question only to the extent that the ability of other entities to carry out the same activity, under comparable conditions, is significantly affected to the point of being excluded, with the consequence that competition is not functioning. On the other hand, the entity pursuing that activity is not considered to be a contracting entity where those special or exclusive rights have been transferred to it by means of a procedure in which sufficient publicity has been ensured and the grant of those rights has been based on objective criteria. That is because granting special or exclusive rights following an open and non-discriminatory tendering procedure in which all the operators concerned took part, without exclusion and discrimination, has the effect of ensuring that the relevant market is open to effective and undistorted competition. Hence, the grant of special or exclusive rights by means of a procedure open to genuine competition precludes the subsequent award of contracts by the concessionaire on the basis of criteria that are not of a purely business and economic nature and, therefore, such contracts do not constitute public contracts to which EU law rules apply.

    Once it is clear that an entity does not fall within any of the aforementioned categories and can therefore be considered to be a private entity, the key matter is to what extent such an entity is free to apply its own rules and procedures related to procurement or if it should abide by the generally applicable European and national law principles.

    An initial and rational approach would advocate that, in such cases, private autonomy and the general principle of freedom of contracts would prevail. However, setting a predetermined regulatory framework for procurement should be driven by the rules of good corporate governance, also taking into account that said entities are required to publish their respective rules and regulations online and carry out a regulated economic activity related to a public utility.

    In light of the above, it is highly recommended that private entities adjust their internal procurement regulations so that they are complementary to the applicable rules for public procurement, by widely adopting the spirit, the principles, and even the wording of the respective legislation.

    By Panagiotis Drakopoulos, Senior Partner, Drakopoulos

    This Article was originally published in Issue 9.6 of the CEE Legal Matters Magazine. If you would like to receive a hard copy of the magazine, you can subscribe here.

  • Kyriakides Georgopoulos Advises Mercedes Benz on Sale of Mercedes Benz Hellas to Emil Frey

    Kyriakides Georgopoulos has advised the German Mercedes-Benz Group on the sale of its Greek subsidiary Mercedes-Benz Hellas to the Swiss Emil Frey Group.

    Closing is expected in the first quarter of 2023.

    The Mercedes-Benz Group is an automotive company. The Emil Frey Group provides a vehicle dealership network in Europe, with over 620,000 units sold in 2021.

    The Kyriakides Georgopoulos team included Partner Theodore Rakintzis, Senior Associate Meletios Andrianos, and Associate Rodopi Maniati.

  • Koutalidis Advises MGE Hellenic Investments on the Sale of McArthurGlen Hellas

    Koutalidis has advised MGE Hellenic Investments on its sale of McArthurGlen Hellas to Lamda Olympia Village.

    MGE Hellenic Investments is an SPV owned jointly by McArthurGlen and Bluehouse. McArthurGlen Hellas is the owner of McArthurGlen Designer Outlet Athens, an outlet mall. Lamda Olympia Village is a subsidiary of Lamda Development.

    According to Koutalidis, “McArthurGlen Designer Outlet Athens is one of the largest outlet centers in Greece, with a gross asset value of EUR 109 million. Its inclusion in the portfolio of Lamda Development, one of the most prominent companies active in Greece’s real estate development market, marks a new era for the Greek designer outlets market.”

    Koutalidis did not respond to our inquiry on the matter.

  • Lambadarios Advises Hellenic Petroleum on Acquisition of Wind Farms in Mani

    The Lambadarios law firm has advised Hellenic Petroleum on its EUR 90 million acquisition of a 55.2-megawatt portfolio of operating wind farms in Mani from the Copelouzos Group and International Constructional. Norton Rose Fulbright reportedly advised the sellers.

    Two of the wind farms, located in East Mani, Laconia, have been in operation since December 2019. They have a total power output of 29.9 megawatts and consist of 13 wind turbines. The other two wind farms are located at Prophet Ilias in Eastern Mani, have a total power output of 25.3 megawatts, and consist of 11 wind turbines.

    Lambadarios’ team included Partners Yannis Kourniotis, Constantinos Lambadarios, Melina Katsimi, and Sophia Alonistioti and Associates Anna Gkogka and Virginia Kyrlakitsi.

  • Bernitsas Law Advises Hoist Finance on Acquisition of EUR 400 Million NPL Portfolio from Alpha Bank

    Bernitsas Law has advised Hoist Finance on the acquisition of a portfolio of unsecured non-performing loans with a total outstanding balance of approximately EUR 400 million from Alpha Bank.

    Alpha Bank is one of Greece’s systemic banks. Hoist Finance is a Swedish financial institution operating in 11 European countries with more than 1,600 employees.

    The Bernitsas team was led by Partner Athanasia Tsene and included Junior Associate Maria Cheimona.

    Bernitsas Law did not respond to our inquiry on the matter.

    Editor’s Note: After this article was published, Zepos & Yannopoulos announced it had advised Alpha Bank on the transaction, also known as Project Light. The firm’s team included Partner Christina Papanikolopoulou, Of Counsel Kitty Fragalexi, Senior Associate Mary Nigritinou, and Associates Magda Tsatsi and Dimitra Androulakaki.

  • Good Hot and Bad Hot Times in Greece: A Buzz Interview with Yanos Gramatidis of Bahas Gramatidis & Partners

    With the pandemic slowly fading away, the Greek economy is reviving with a large number of projects in the infrastructure, tourism, and energy sectors, according to Bahas Gramatidis & Partners Partner Yanos Gramatidis. 

    “In Greece, there is a lot of legal work in relation to the design and implementation of various infrastructure projects launched by the Greek government – especially projects by the Hellenic Asset Management Fund which owns the real properties,” Gramatidis says. “The current projects include the protection of forests, the establishment of industrial parks, and the exploitation of various real estate belonging to the Greek state.” Among these projects, according to Gramatidis, “are the Olympic installations, which have been built for the 2004 Olympic Games, but have mostly been abandoned ever since. Now, there is a push for these areas to be used for commercial purposes. In addition, there is a rise in work generated by privatization, including ports, marinas, casinos, and others.”

    Gramatidis says, that another busy area is the tourism sector. “There have been a lot of transactions related to the acquisition of hotels – not only 4 and 5-star hotels, but also boutique hotels. Many foreign companies are looking for investments in this area, keeping law firms busy, in particular, in relation to hotel franchises and management contracts. Once the hotel has been acquired, the new owners are trying to make sure that they enter into a reputable hotel chain.” The biggest player at the moment, according to Gramatidis, is Marriott due to the strong brand its portfolio possesses. “In relation to tourism, we also saw many projects of creating and modernizing marinas for private yachting,” he adds. Finally, Gramatidis says that there is a great demand by non-EU nationals to acquire either bonds or real estate in order to secure a golden visa of 5 years renewable.

    “Very relevant to the tourism industry are commercial aircraft leasing projects, with Aegean airlines, as well as several small carriers, increasing their fleet in order to meet increased demand,” Gramatidis notes. “As a result, there is a lot of work related to commercial aircraft leasing.” According to him, the airlines tend to assume that there is no prospect for further lockdowns, with the pandemic slowing down and becoming less lethal.

    Further, Gramatidis says, “there are big groups from Europe looking at Greece to acquire energy projects that are either already licensed or about to be licensed. Greece has a lot to offer, considering its capacity to produce energy, especially solar and wind power.”

    “As for the legislative updates, the biggest novelty is related to the new development law,” Gramatidis adds. “It gives incentives through grants and tax holidays for companies wishing to invest in Greece. Commercial legislation has also been recently modernized, now allowing one to set up a company in one day,” he says, adding that “we are still evaluating its impact on the business sector.”

    “Finally, Greek law firms are increasingly engaged in ESG programs,” with the partner pointing to his firm’s project of planting olive trees in the areas affected by the fires these past years. “Interestingly, this is not primarily driven by the modern European trend toward implementing ESG requirements, but rather by the sensitivity of the Greek people toward environmental disasters that have been taking place, including the wildfires from last summer and this summer,” he concludes.  

  • Yianni Cheilas Becomes New Head of Norton Rose Fulbright Greece

    Norton Rose Fulbright has appointed Partner Yianni Cheilas as the new Greek offices Head from August 1, 2022. He takes over from Partner Dimitri Sofianopoulos, who will now continue with Norton Rose Fulbright as a Senior Consultant.

    Specializing in banking, finance, and restructuring, Cheilas is based in London and Athens. He is also a Co-Head of the firm’s Asset Finance for EMEA practice. 

    “Dimitri has played a huge role in the success and growth of our Greek offices, and our global shipping practice,” Norton Rose Fulbright Managing Partner for EMEA Peter Scott commented. “Although we are sorry to see him leave the partnership, we are excited to see him take on this new challenge. We wish him all the best for the future and his new role, and we will continue to enjoy our collaboration with him. I am delighted that Yianni will be heading up our Greek offices. Yianni is co-head of our EMEA asset finance practice and, having worked in our Athens office for over two decades, has an incredible breadth and depth of experience. He is ideally suited to support our clients and colleagues alike, and to continue the development of our practice in the region.”

    “It has been a great pleasure working very closely with Dimitri over the past 25 years when we joined forces to forge a prime finance and shipping practice in the region,” Cheilas added. “Dimitri is a Norton Rose Fulbright lifer, an incredible practitioner, a loyal friend to his colleagues, and a devotee of the firm. He leaves behind a tremendous legacy and very big shoes to fill indeed. I want to wish Dimitri the very best in his new role and look forward to working with him in his new capacity.”

  • Closing: Nexi Partnership with Alpha Bank Now Closed

    On July 7, 2022, Koutalidis announced that Nexi Group’s strategic partnership with Alpha Bank in the area of digital payments (reported by CEE Legal Matters on August 19, 2021) had been perfected, on June 30, 2022, following the receipt of regulatory clearance.

    As previously reported, Koutalidis advised Nexi and Zepos & Yannopoulos advised Alpha Bank on their memorandum of understanding in relation to establishing a strategic and long-term partnership in the payments acceptance space in Greece.

    According to Koutalidis, “the transaction includes the spin-off of Alpha Bank’s merchant acquiring business into a new entity (NewCo) and the acquisition by Nexi of a 51% stake in NewCo for a EUR 157 million cash consideration, as well as the entering into a long term distribution agreement between the two parties, providing NewCo with access to Alpha Bank’s network in order to distribute payment acceptance products and services to business customers of Alpha Bank in Greece.”

    According to Zepos & Yannopoulos, “the agreed business value of the transaction has been set at EUR 307 million for 100% of Alpha Bank’s Card Acceptance and Transaction Clearing Sector.” Additionally, Koutalidis announced that the transaction included “a contingent earn-out consideration of up to EUR 60 million.”

    Zepos & Yannopoulos’ team included Partner Stamatis Drakakakis and Associates George Vavatsioulas and Ellie Gavriilidou.