Category: Greece

The Koutalidis Law Firm has advised the United Group on its acquisition of Greek mobile operator Wind Hellas.

Financial details of the transaction were not disclosed. The transaction remains contingent on regulatory approval and closing is expected in 2022.

According to Koutalidis, Wind Hellas, which also offers internet and television services, currently serves 4.2 million users and reports revenue in excess of EUR 500 million annually. “The deal will enable the United Group B.V. to combine Wind Hellas with its existing Greek pay-TV provider Nova to create a strong converged operator that will be the number two player in both broadband internet and television services in Greece,” according to the firm. 

Koutalidis also advised a bank consortium on Wind Hellas’s EUR 525 million bond issuance in 2019 (as reported by CEE Legal Matters on November 4, 2019).

The firm did not reply to our inquiry about the deal.

Koutalidis has advised Nexi on the signing of a memorandum of understanding with Alpha Bank 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.”

Koutalidis did not reply to our inquiry on the matter.

Editor’s note: After this article was published, Zepos & Yannopoulos announced that it had advised Alpha Bank on the transaction. The firm’s team included Partner Stamatis Drakakakis and Associates George Vavatsioulas and Ellie Gavriilidou.

According to Zepos & Yannopoulos, Alpha Bank and Nexi announced the signing of a binding agreement for the establishment of their strategic partnership. “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. The closing of that deal is expected in the first half of 2022.”

Additionally, Koutalidis announced that the EUR 307 million enterprise value also includes “a contingent earn-out consideration of up to EUR 60 million,” and that closing of the transaction remains subject to regulatory approval.

Theologos Mintzas has been promoted to Partner with PotamitisVekris. This is the firm’s 11th partner appointment to date. 

According to the firm, Mintzas is a “real estate expert advising … on a wide range of transactions, including acquisitions, disposals, and leases of portfolios and individual assets and other real estate investments, as well as on property management, construction, and development. He leverages his expertise in environmental, building, planning and zoning law, and relevant regulatory matters to help clients successfully conclude all types of real estate transactions.”

Mintzas has been with PotamitisVekris since 2011 when he joined the firm as an Associate. He has an LL.B. and an LL.M. from the National and Kapodistrian University of Athens and an LL.M. from the University of Pennsylvania.

“This promotion acknowledges hard work, excellent legal skills, and service to our clients,” said Managing Partner Stathis Potamitis. “We congratulate Theologos and wish him every success as he continues his career with us.”

“Over the years, Theologos has earned the confidence of his clients and colleagues,” added Co-Managing Partner George Bersis. “We are happy for his achievements and are confident that he will continue to contribute significantly to the success of our clients and firm.”

Zepos & Yannopoulos has advised global coordinator and joint bookrunner Citigroup Global Markets Europe AG on Motor Oil Corinth Refineries S.A.’s EUR 400 million 2.125% unsecured senior notes issuance due 2026. Bernitsas Law advised the issuer. Shearman & Sterling advised initial purchasers Citigroup Global Markets Europe, as well as the Alpha Bank, Eurobank, Goldman Sachs Bank Europe, HSBC Continental Europe, ING Bank, J.P. Morgan, National Bank of Greece, Nomura Financial Products Europe, Optima Bank, and Piraeus Bank.

Motor Oil Corinth Refineries is an Athens-based petroleum company focused on crude oil refining and retail of oil products.

According to Zepos & Yannopoulos, “Motor Oil will use the proceeds of the offering to redeem the EUR 350 million principal amount 3.250% senior notes due 2022 issued by its wholly-owned subsidiary, Motor Oil Finance plc, including payment of accrued and unpaid interest, to pay fees and expenses in connection with the offering, and for general corporate purposes.”

The Zepos & Yannopoulos team consisted of Partners Elena Papachristou, Daphne Cozonis, and Sofia Chatzigiannidou, Senior Associates Efthymis Naoumis, Ioanna Tapeinou, and Nikos Koukos, and Associate Vivian Efthymiou.

Bernitsas Law’s team included Partner Nikos Papachristopoulos and Junior Associate Kelly Hatzigaki.

Shearman & Sterling’s team consisted of London-based Partners Gordon Houseman, Kristen Garry, and Thomas Donegan, and Associates Daniel Kachmar, Iain Sneddon, and Olivia Merrett.

Even with the delta variant being prominent in Greece, the country seems to be on an upward trajectory, according to Nassos Felonis, Partner at Bahas, Gramatidis & Partners.

“The overall political landscape is very stable,” Felonis starts. “The government is very solid – it has a parliamentary majority and the support of Greek people, not only regarding the economy and development but also on handling the Covid situation since day one.” Felonis says this is especially important, given the spread of the delta variant in Greece and an overall fear of another wave of the new coronavirus in the fall.

“The good thing is that the vaccination efforts have started off strong,” Felonis continues but does say it has since slowed down. “This is most likely to do with one part of the population being wary of the potential side effects the vaccines might have, and another, although smaller, part being against the vaccines altogether.” The initial goal of the government was to have about 80% of the population vaccinated come fall, but this seems unlikely at the time. “Another problem is that the opposition parties, while agreeing in principle with the government’s vaccination efforts, are not clearly aligned on specific measures, such as the mandatory vaccination of certain categories of workers – this could only further slow things down,” Felonis says.

With all the good work the Greek government has done, Felonis underlines several things. “Firstly, there has been a major revision of the labor law framework which aligned the system more with EU standards and practices,” he says. Now, there is a higher degree of flexibility for employers and employees to make arrangements related to work schedules, Felonis says, and this will make the economy more competitive. He adds that “the new Law establishes clear rules on the prevention of violence and harassment in the workplace, balance of work and family life, remote working, etc.”

“Secondly, the government has introduced a swath of initiatives related to public education, allowing universities to have more autonomy and tailor their work & programs to market needs more,” Felonis continues. “Creating these linkages, not only between the universities and the market but also between domestic universities and major educational centers in the UK and the US, will lead to our students being better prepared professionally and being more culturally savvy.”

Finally, turning to the economy, Felonis says that 2021 is looking good so far. “After last year, we can honestly say that things are picking up and that this year looks more like 2019, at least when it comes to the tourism sector,” he says. Also, Felonis highlights the establishment of the “Recovery and Resilience Facility” (RRF), a central part of the overall “NextGenerationEU” Plan, which has been created to alleviate the negative effects the pandemic had on certain sectors of the economy. “The development aspect of the program, which has been approved by the European Commission, will see Greece receive about EUR 30.5 billion, 17.8 billion in grants and 12.7 billion in loans. This, coupled with private and banking funds to be involved in development projects, could potentially reach approximately EUR 70 billion,” he says. These funds will, firstly, be directed towards infrastructure works and the digitalization of the economy. “The government has made a strong effort of rapidly digitalizing public administration and services,” Felonis notes.

Other parts of the funds, Felonis says, will be directed towards green, renewable energy sources. “Large Greek companies are investing already, by issuing so-called ‘green bonds’ in order to finance renewable energy sources,” Felonis continues. “Not just solar and wind, but also to create energy storage facilities, to invest in natural gas distribution networks, provide incentives for the gradual use of electric cars, as well as for start-ups, limiting energy waste, uplifting public buildings and private housing through incentives to have them more environmentally friendly and less energy-hungry.” This initiative, he says, started in June of this year and will unfold over the next five-year period, creating great prospects and opportunities for the economy and society in general.

Zepos & Yannopoulos has advised PPC S.A. on its international offering of EUR 500 million 3.375% sustainability-linked senior notes due 2028.

According to Zepos & Yannopoulos, Public Power Corporation is the largest generator and supplier of electricity in Greece. “The notes are linked to enhanced sustainability goals – PPC aims to 57% CO2 emissions reduction by 2023 – and promote PPC’s constant efforts for the improvement of its economic, environmental, and social impact. PPC intends to have the notes listed on the official list of Euronext Dublin and admitted to trading on the Global Exchange Market thereof, or on another appropriate trading venue in the European Union.”

Goldman Sachs Bank Europe SE and HSBC Continental Europe S.A. were joint global coordinators and physical bookrunners, Citigroup Global Markets Europe AG was joint global coordinator and joint bookrunner and Alpha Bank S.A., Ambrosia Capital Ltd, AXIA Ventures Group Limited, Credit Suisse Securities, Sociedad de Valores, S.A., Eurobank S.A., J.P. Morgan AG, National Bank of Greece S.A., and Piraeus Bank S.A. were joint bookrunners. HSBC Continental Europe S.A. was also involved, in the capacity of the sustainability-linked bond structuring advisor.

The firm also advised on PPC’s offering of EUR 650 million 3.875% sustainability-linked senior notes due 2026 (as reported by CEE Legal Matters on March 18, 2021).

Zepos & Yannopoulos’s team included Partners Christina Papanikolopoulou, Kely Pesketzi, Elena Papachristou, Sofia Chatzigiannidou, Maria Zoupa, and Daphne Cozonis, Senior Associates Efthymis Naoumis, Nikos Koukos, Smaragda Spyrou, and Ioanna Tapeinou, and Associate Vivian Efthymiou.

Zepos & Yannopoulos stated it is not able to disclose the banks’ counsel.

Kyriakides Georgopoulos has advised Alpha Bank on a PPP project refinancing for the Attica Schools project.

The Attica Schools PPP involves the design, construction, and facility management of 10 new schools in the Attica region in Greece.

Kyriakides Georgopoulos’s team included Partner Ioanna Antonopoulou, Senior Associate Angeliki Chalikia, Associate Andy Grivas, and Junior Associates Evangelia Makri and Valeria Boukoumani.

Zepos & Yannopoulos has advised the Unilever Group on the sale of its Greek tomato product business unit to Minerva.

The transaction includes the Pummaro and Pelargos brands, as well as a manufacturing site in Gastouni, Ilia.

According to Zepos & Yannopoulos, “the completion of the transaction is aligned with Unilever Group’s international focus strategy, while allowing for the creation of long-term value in the tomato business sector.”

The Zepos & Yannopoulos team included Partner Stefanos Charaktiniotis, Senior Associate Stathis Orfanoudakis, and Associate Nadia Axioti.

The firm could not provide further information on the deal.

Zepos & Yannopoulos has advised Intrum AB and Intrum Hellas on Sunrise I – a Hellenic Asset Protection Scheme securitization transaction originated by Piraeus Bank involving a retail and corporate NPE portfolio of EUR 7.2 billion gross book value.

According to the firm, “Intrum has agreed to purchase 49% of the mez and 50.1% of the junior notes, subject to customary conditions precedent.” 

Sunrise I is the third Hellenic Asset Protection Scheme securitization investment by Intrum AB, following Phoenix and Vega.

Zepos & Yannopoulos team was led by Partner Christina Papanikolopoulou and included Partner Elena Papachristou, Senior Associate Paris Tzoumas, and Associates Vivian Efthymiou, Athina Palli, and Myrto Tsoumalakou.

Editor’s note: After this article was published, White & Case announced that it had advised Intrum on Piraeus Bank’s EUR 7.2 billion NPL securitization. The firm’s team included Partners Dennis Heuer and Henrik Wireklint, Counsel Claudio Medeossi, and Associates Marcin Zawadzki and Reetu Vishwakarma.

With the summer kicking off another (tourism) season for Greece, PotamitisVekris Co-Managing Partner, George Bersis, shares with us how this Mediterranean country’s economic outlook is shining brighter and brighter. 

“Things are hyper in Greece” Bersis begins. “Our economy and our society, in general, are opening up for the first time with a clear view that most of the pandemic is behind. The vaccination effort is moving fast, Greece is opening up for tourists … the general sentiment is very positive.” He says that, finally, optimism is materializing.

“Despite some reasonably expected hiccups, the government, supported by the responsible and conscientious behavior of the Greek people, performed particularly well during this period” Bersis notes. “Following turbulent political times during the recent financial crisis, Greece is and shall remain for the foreseeable future politically stable,” Bersis reports, adding that the government, and all major political parties, are very pro-investment, which kicked off a lot of reforms set to further boost the economy.

The most recent major reforms, Bersis reports, are the revision of the Bankruptcy Code, the overhaul of the Labor Law framework, and a “devoted and continuing effort to bring the Greek administration into the digital era.” Moreover, the government has lowered taxes and has issued business-stimulating subsidies to combat the COVID-19 pandemic. “All of this, plus the looming EU support funds that are set to come in and further boost our economy, spell a very positive outlook for Greece,” Bersis says.

And business is doing well. “Bookings for the tourist season are off the charts and for the period starting from the mid of July onwards, it looks like we’re heading into a new record-setting period,” Bersis says. “Also, investors are rushing in, now that the worst of the pandemic seems to be behind us, and the horizon is full with promising new opportunities and an uptick in transaction projects.”

Finally, Bersis says that this all means that the legal market needs to “start investing heavily in people and resources in general. With everything opening up – or already being open – I think that we all ought to be picking up additional capacity to be able to respond to the beat of business.” Reporting that their own firm grew some 10% during the pandemic – and that the market stayed quite busy despite everything – Bersis concludes with a positive projection: “We are heading into a period of strong expansion both in the economy in general and in the legal services sector in particular.”