Major acquisitions and investments amounting to 2 billion euros for the development of new business sectors, developmental Share Capital increase of 200 million euros and a new corporate identity that marks a new era was announced today by the president and CEO of AKTOR Group, Mr. Alexandros Exarchou, at a special event, in the presence of representatives of the political and business scene.

The president and CEO of AKTOR Group, Mr. Alexander Exarchoupresenting this new strategic repositioning announced the change of name of Intrakat to AKTOR Group of Companies, which evolves into a leading market player of Infrastructure in Southeast Europe, implementing a strategic plan, which includes a corporate transformation – a model for Greek data, significant acquisitions and investments of 2 billion euros for the development of new business sectors, a developmental Equity Capital Increase of 200 million euros and a new corporate identity, marking a new era.

Mr. Exarchou stated “In July 2022, we entered the equity capital of Intrakat, with the vision of creating an important pillar in construction in Southeast Europe, and within two years we have quintupled its growth rate. This goal took shape with the acquisition of AKTOR, which multiplied our footprint in the market and laid the foundations for an integrated and international Group, with diverse activities».

“The name AKTOR has deep roots in the country and is an integral part of its modern history, having been associated with the progress and development of the place. Today the name AKTOR takes on a new life and marks the beginning of a new era and a new chapter in our history that symbolizes our courage to change in order to build something bigger and stronger: One of the largest infrastructure groups in Greece and Southeast Europecontinued the head of the Group.

He added: “With this ambitious goal in mind, we are implementing a radical corporate transformation that will contribute to our strategic pursuit of shareholder value creation. And we are resolutely proceeding with a Growth Equity Raise to support acquisitions in all our new areas of activity. Our new strategic repositioning is based on 4 central axes: Creating shareholder value, diversifying the revenue mix, generating strong and stable earnings and distributing dividends to our shareholders. And we will serve this strategy consistently».

Investments, acquisitions and copyright

AKTOR Group of Companies will expand its business scope, keeping construction as a core pillar of its activities and invest in the most dynamic – and construction-related – sectors of the economy, with the aim of diversifying the mix of pre-tax, interest and depreciation earnings (EBITDA), the strengthening of its net profits, the formation of a more stable and strong financial profile and the creation of shareholder value.

As Mr. Exarchou pointed out, according to international analyses, groups that are based on construction, but are also active in other related sectors, have a significantly better share performance, as they achieve EBITDA diversification and a reduction in business risk and dependence on volatility construction sector, while showing comparative advantage and synergies with similar sectors, due to construction know-how. Thus, it is typical that while the stocks of pure construction activity groups have an average Enterprise value / EBITDA multiplier of 6x, diversified groups show a higher Enterprise value / EBITDA multiplier of 8x.

The aim of the Group, which will invest €2 billion for acquisitions, is to achieve in 2025 a turnover of €1.4 billion and an EBITDA of €184 million and in 2030 a turnover of €3.2 billion and an EBITDA of €430 million. is to create a balanced portfolio of activities at the end of the decade. Specifically, the goal is that in 2030 the Group’s diversified EBITDA mix will come from constructions by 42%, renewables by 30%, real estate by 13%, participations by 9% and facilities management by 6%. After the completion of the acquisitions, the number of Group personnel in 2025 will exceed 8,800 employees in Greece and abroad.

In order to support this ambitious plan, the AKTOR Group of Companies is proceeding with a Developmental Equity Capital Increase of 200 million euros, with the aim of financing investments and creating value for shareholders. As Mr. Exarchou pointed out, AMK will allow the Group to complete acquisitions, capitalize on the investment opportunities it is evaluating, strengthen its financial performance, “unlocking” new growth opportunities, and create a competitive advantage for the benefit of shareholders. The sale price of the new shares will be Euro 4.60.

Holistic transformation

At the same time, a holistic corporate transformation is being implemented, evolving the AKTOR Group of Companies, from a construction company, into a diversified group with a multitude of new activities. “What we are doing today is not simply changing the name. We are changing everything and acquiring a European orientation with an emphasis on a mix of different activities” noted Mr. Exarchou. This transformation redefines the position of the Group, which will control a multidimensional ecosystem of companies.

New corporate structure

The Group’s new operating model focuses on changing the way of working by introducing innovations, global best practices and cutting-edge technologies, while the structure of the AKTOR Group is also changing, as it acquires modern subsidiaries, which will implement their activities in a vertical way.

AKTOR REAL ESTATE: The company proceeds with the acquisition of a portfolio of 56 properties, amounting to Euro 582 million, from Prodea in Greece, Italy, Cyprus and Bulgaria, which it will transform into a modern Real Estate platform, leveraging group synergies for the renovation, operation and development of properties . The goal for EBITDA is to reach Euro 40 million in 2025 and Euro 55 million in 2030 respectively. The funds for the Euro582 million investment will come 75% from non-recourse Bank Debt, 15% from non-recourse Sub Debt and 10% from equity. The company’s contribution to the Group’s EBITDA will rise to 13% in 2030.

AKTOR RENEWABLES: It will proceed with investments of 1.4 billion euros for RES projects with a capacity of 1,300 MW, until the end of 2027, through the implementation of existing agreements for the acquisition and construction of RES projects with a cumulative capacity of 912 MW, as well as the acquisition of further RES portfolio , with a total capacity of 390 MW, which is currently under investigation. In addition, with an implementation horizon after 2028, the company will mature an existing portfolio of energy projects with a capacity of 1,300 MW, as well as an additional portfolio of 1,500 MW that will concern energy storage through pumped storage.

The aim is to achieve EBITDA of Euro22 million in 2025 and Euro130 million in 2030, respectively. The total investment will amount to Euro 1.4 billion, of which 80% will come from non-recourse Bank Debt, 10% from non-recourse Sub Debt and 10% from equity. The company’s contribution to the Group’s EBITDA will rise to 30% in 2030.

AKTOR CONSTRUCTIONS: Manufacturing remains the driving force and important pillar of the new corporate structure and will be enriched with a new operating model, with modern processes, control based on international best practices and digital transformation. The “steam engine” of the Group will support AKTOR’s areas of activity, while the acquisition of the technical company ENTELECHEIA in Greece has already been completed, with the aim of strengthening its technical specialization in electromechanical infrastructure projects and, at the same time, investment opportunities for acquisitions in the construction sector are being considered and in Romania.

AKTOR CONSTRUCTION’s goal is to achieve turnover of Euro1.6 billion and EBITDA of Euro109 million in 2025, and Euro2.9 billion and Euro180 million in 2030, respectively. Investments for direct acquisitions through equity will amount to Euro 10 million. The company’s contribution to the Group’s EBITDA will reach 42% in 2030.

AKTOR FACILITY MANAGEMENT: The Group’s subsidiary is proceeding with the acquisition of companies, which are active in the promising sectors of providing security and catering services. In particular, the acquisition of the company Oceanic Security was agreed, while it is close to completing the acquisition of the catering services business. The company’s aim is to become a one stop shop, which will cover all intra-group needs and will “unlock” access to larger market sectors. The goal is to achieve EBITDA of Euro12 million in 2025 and Euro25 million in 2030, respectively. The percentage of contribution to AKTOR Group’s EBITDA will amount to 6% in 2030. Investments for direct acquisitions will amount to 21 million and will come from operating flows.

AKTOR ENGAGEMENTS: The company starts with a strong foundation in the construction, operation and maintenance of concession projects and PPPs, while considering the acquisition of existing operating concession projects or companies that have stakes in concession projects. It also aims to develop a portfolio of concessions in Romania as well – when the state chooses to use this infrastructure construction and financing model.

The company will build a portfolio of concessions with a maturity horizon of 2028 and the goal of achieving EBITDA of Euro 40 million in 2030, with the percentage of contribution to AKTOR Group’s EBITDA reaching 9% in the same period.

Scholarship program

AKTOR is creating a Scholarship program for studies abroad in a series of specialties that will cover all of the Group’s activities, with the aim of creating a nursery of executives and specialized personnel. It is a training and skills development program, with an emphasis on digital technologies and the use of specialized tools and practices to work more effectively in their areas of employment in the Group. The detailed presentation of the Scholarship Program will take place in January 2025.

New corporate identity

At the same time, AKTOR Group presented its new corporate identity, which marks the new era and its goal to become a force for development in the fields in which it operates. With a mission to contribute with its action and investments to progress and prosperity, upgrading people’s lives, AKTOR Group evolves, committing to a sustainable future and creating value for its shareholders and society.