Yesterday Tuesday, the increase of the share capital, in the amount of 200 million euros, which will finance acquisitions and investments in the activity areas of the AKTOR Group, was approved by the extraordinary general assembly.

As announced by the president and CEO of the Group, Mr. Alexandros Exarchou, the Group is discussing with banks and infrastructure funds to leverage resources of 1.5 billion euros, in order to finance investments that will reach 2 billion euros, of which 1 .3 billion euros in RES and 600 million euros in Real Estate. At the same time, he highlighted the importance of the Group’s choice for the financing of each subsidiary to be on a Non-recourse basis, that is to say that essentially each investment is self-financed from its own flows, without the Group being burdened by servicing the loans.

How will the new funds be used?

At the same time, the head of the Group thoroughly analyzed how the new funds of 200 million euros that will flow into the Group through AMK, as part of the recently announced investment plan, will be utilized, with 50 million euros to be channeled into Real Estate, 90 million euros into RES and 60 million euros for working capital and acquisitions in the construction sector.

Mr. Exarchou, during the meeting and on the sidelines of it, spoke in detail about the planning of the 5 new subsidiaries of the Group.

AKTOR REAL ESTATE will implement the agreement to acquire 56 properties from Prodea, worth 600 million euros, which will have a direct influence, as early as 2025, on the Group’s profitability. He ruled out any involvement of the Group in the development of real estate from scratch. On the contrary, the aim is to utilize existing properties, combined with the capabilities of AKTOR CONSTRUCTION and AKTOR FACILITY MANAGEMENT in construction – renovation and facility management, respectively, with the aim of leasing them to first preference tenants, in order to ensure stable cash flows. And this will be done through properties that will have short re-leasing times, if necessary, at good prices and easy exploitation possibilities.

At the same time, he analyzed the strategy of AKTOR RENEWABLES. Mr. Exarchou emphasized that the agreement with PPC (of December 2023) ensured optimal conditions for the Group’s existing RES pipeline and underlined the advantages of the first wave of new acquisitions of RES projects, which already have tariffs and appreciable investment return rates . And he noted that the Group’s intention is to further acquire RES projects of 150-200 MW power in the next period with the aim of having 500 MW projects in operation and another 500 MW under development, with connection conditions, in order to ensure against production interruptions in the future.

He explained, in fact, that the Group’s business plan for energy was drawn up based on the worst-case scenario around production interruptions and added that this mix will be complemented by investments in energy storage and pumping savings. According to Mr. Exarchou, RES investments should also take into account local communities and offer benefits to them as well. And this is something that the AKTOR Group will aim to ensure in its own investments.

In addition, he spoke about the development plan of AKTOR FACILITIES MANAGEMENT, which will have great synergies in the Group both in the maintenance and operation of buildings, projects and RES, offering a significant competitive advantage. Furthermore, he described AKTOR CONSTRUCTION as the “soul of the Group” in the context of synergies, stressing that the burden will fall on construction, which has a significant backlog that will increase further. While he emphasized the importance of AKTOR PARTICIPATION, which will be involved in PPP and concession projects with the aim of contributing to the Group’s EBITDA in the long term.

At the same time, Mr. Exarchou emphasized the value that the Group’s base in Romania will have, in the reconstruction process of Ukraine after the end of the war, but also in the effort to develop in new markets, avoiding, however, the problems of the past that had led AKTOR in damages.

Also, as regards RES, as Mr. Exarchou said, the Group has closed the acquisition of photovoltaic and wind power plants of 100 MW and 30 MW, respectively, and its goal is to immediately acquire more.

In addition, the Group examines the acquisition of mature concession projects and explores opportunities in Greece and abroad, as long as the projects meet specific conditions, such as normal price, maturity, the possibility of Non-recourse basis and reasonable profitability. He also confirmed the Group’s readiness to participate in concession projects in Romania, when they are tendered. He stated that the agreement with Prodea will be completed and procedurally at most by April and that both sides are working intensively in this direction.

The benefits for shareholders

The Group’s managing director emphasized that the choice of AMK of 200 million euros was the minimum possible burden that could be passed on to the shareholders, pointing out that the Group had to maintain this balance. And he promised the next two years growth rates corresponding to those of Intrakat in the previous two years. He emphasized that the Group will create an environment of security for the shareholders and for this reason will create new activities related to construction, which will continue to remain the driving force. And he noted that the listed company is not aimed at speculators, but at long-term investors, a category that has particularly benefited from the multiplication of the company’s stock market value in the previous two years. While, at the same time, he underlined that from 2025 the burden of the transaction for the acquisition of AKTOR ATE will stop weighing on the financial results of the Group.