In a strategic move of unprecedented business scale, Public Power Corporation (PPC) is proceeding with the aim of executing a major acquisition that is shaking the business landscape.
The deal does not concern data centers but a company in Central or Eastern Europe or a company in the mobile telephony and internet sector.
PPC had negotiations with Vodafone and NOVA.
For this purpose, as previously reported by BN, it announced a major capital increase of approximately €4 billion, which will be completed by the end of May 2026, in which, as became known, CVC Capital Partners will participate with €1.2 billion, as well as the Greek State.
The price of the capital increase is estimated at approximately €16.8 to €17.2.
It should be noted that the deal with the data centers is also progressing, but the capital increase does not concern this business deal.
The current market capitalization of PPC stands at €6.8 billion or €18.63 per share.
Specifically, the Company announced, in summary:
1) New Strategic Plan 2030 to capitalize on growth opportunities through an investment plan of approximately €24 billion.
2) Targeting nearly a doubling of installed capacity to 24.3 GW by 2030, aiming for net annual capacity additions of 2.4 GW mainly through investments in renewable energy sources, flexible generation and storage.
3) International expansion transforming the PPC Group with significant investments in new high growth markets in Central and Southeastern Europe.
4) Launch of implementation of the Kozani Data Center, Phase I, targeting 300 MW in operation by the end of 2028.
5) Target EBITDA of approximately €4.6 billion by 2030, doubling Net Profits by 2028 and tripling them by 2030.
6) Confirmation of commitment for a dividend of €1.20 per share in 2028, and new commitment to increase to €1.40 per share by 2030.
7) Share Capital Increase of approximately €4 billion through a fully marketed offering.
8) Priority for participation of existing shareholders.
With €1.2 billion in PPC capital increase, CVC participates
Also, PPC announces that, following the Company’s announcement on April 23, 2026 regarding the proposed share capital increase, funds under the management of CVC Capital Partners (CVC) as a significant indirect shareholder of the Company expressed in a letter to the Board of Directors their full support for the strategic plan and the vision of PPC’s management for further acceleration of the transformation and growth trajectory of the Company.
In relation to the proposed capital increase, CVC sent a non binding indication of interest, subject to market conditions and the final terms of the offering, including the offering price and internal approvals, to participate with a new investment of up to €1.2 billion in the offering.
Ministry of National Economy and Finance participates
As stated by the Ministry of National Economy and Finance, the Government strongly supports the strategic plan of the management for accelerating the transformation of the company and strengthening its development role.
PPC has evolved into a modern, vertically integrated energy group with a decisive contribution to the economy and the energy transition.
Investments in generation, networks and services enhance competitiveness and ensure reliable and affordable energy for citizens and businesses.
In an environment of increased uncertainty, energy is an issue of security and strategic autonomy.
Strengthening PPC is a strategic choice for the country.
The Ministry of National Economy and Finance makes it clear that maintaining a strong and increased participation of the State in PPC is a central policy choice, aiming at protecting the public interest and creating long term value.
In this context, the Government announces its intention to participate in the share capital increase, in order to maintain, directly or indirectly, a 33.4 percent stake in PPC.
This decision is part of a clear strategy. We strengthen investments, shape larger and stronger Greek companies and accelerate the transition to a more outward looking Greece, with companies that compete internationally and consistently support economic growth.
In detail, the PPC announcement
Public Power Corporation S.A. (PPC or “Company”, and together with its subsidiaries the “PPC Group”), announces its intention to raise capital through an increase of its share capital (the “Share Capital Increase”) by approximately €4 billion through a book building process for determining the offering price of the issued shares (the “New Shares”), in order to finance the new Strategic Plan 2030 of the PPC Group (the “Strategic Plan”).
The New Shares are proposed to be offered through a public offering in Greece (the “Public Offering”) and a private placement to institutional investors outside Greece (the “International Offering”, and together with the Public Offering the “Combined Offering”).
The Share Capital Increase is proposed to be carried out with exclusion of preemptive rights, however, a priority allocation mechanism is provided for the allocation of the New Shares to existing shareholders of the Company who will participate in the Combined Offering.
In particular, the priority allocation in the Public Offering is proposed not to exceed the participation percentage of existing shareholders in the share capital of the Company based on the electronic records of ELKAT S.A., on the record date to be determined by the Board of Directors, so that, under certain conditions, these shareholders maintain at least the same percentage of participation in the Company after the Share Capital Increase.
The Company, at its absolute discretion, may apply a similar priority allocation mechanism to the New Shares offered in the International Offering, taking into account, among other criteria, investment behavior, trading activity and commitment to the Company, investment horizon and early expression of interest for the Share Capital Increase.
Rationale for the Share Capital Increase
The Share Capital Increase will contribute to financing the Company’s Strategic Plan, aiming at:
1) accelerating investments in its main geographic markets,
2) developing its international presence,
3) investing in additional sectors that the Company considers strategic or complementary to its core activities, and
4) maintaining flexibility for further growth opportunities in energy and technology sectors.
The Share Capital Increase will also strengthen the Company’s strategic and operational flexibility through a more efficient and sustainable capital structure.
In the rapidly developing region of Central and Southeastern Europe, PPC has identified significant factors creating investment opportunities in the region. Among them are:
1) energy scarcity, which may lead to higher capital returns,
2) decommissioning of a significant number of thermal units, creating a major opportunity for large scale development of alternative production forms,
3) lack of interconnections of the region with the rest of Europe, maintaining wholesale prices at higher levels,
4) the contribution of Ukraine to the region’s energy scarcity, having shifted from an energy exporting country to an importing country,
5) electricity demand in the region expected to increase significantly over the next decade due to higher GDP growth compared to Western Europe, onshoring policies, increasing electrification, creation of new data centers and investments financed by the European Union.
To capitalize on these opportunities, the PPC Group accelerates its development in the broader region, investing in energy systems and data center infrastructure.
The PPC Group aims to double installed capacity to 24.3 GW by 2030, from 12.4 GW in 2025, significantly increasing annual additions from 1.4 GW to 2.4 GW, investing in renewable energy systems, flexible generation and storage.
Specifically:
1) In Greece, PPC targets adding 5 GW by 2030, with total installed capacity rising to 13.3 GW, despite full lignite phase out to be completed in 2026, and discontinuation of 40 percent of oil based generation on Greek islands.
2) In Romania, the PPC Group aims to triple installed capacity between 2025 and 2030, reaching 5.3 GW, through investments in renewables, storage, new gas units and peakers.
3) In other countries where the PPC Group recently established presence, namely Italy, Bulgaria and Croatia, the Group aims to significantly increase its investment plan, mainly through construction of renewable and storage units, as well as gas units, targeting 3.5 GW installed capacity by 2030.
4) In the broader region, the Strategic Plan targets entry into new countries, specifically Hungary, Poland and Slovakia, through both organic growth and acquisitions, targeting 2.2 GW installed capacity in renewables and storage by 2030.
By 2030, the goal of the PPC Group is for 45 percent of installed capacity to be outside Greece, while the energy mix will include all modern forms of electricity generation, solar, wind, hydroelectric, natural gas and storage, diversifying the Company’s portfolio both geographically and technologically.
The Strategic Plan includes the development of a 300 MW Data Center in the former lignite region of Kozani in Northern Greece, as the Company is in confidential ongoing negotiations with leading hyperscale providers, with construction expected to begin in 2026 and capital expenditures amounting to €1.2 billion.
The key financial targets of the Strategic Plan are:
1) EBITDA of €4.6 billion by 2030 from €2.0 billion in 2025,
2) Net profits tripling to €1.5 billion by 2030 from €0.45 billion in 2025, and
3) Dividend per share reaching €1.4 by 2030 from €0.4 in 2024, with an average annual growth rate of approximately 24 percent.
According to the Strategic Plan, capital expenditures of the PPC Group between 2026 and 2030 are expected to reach €24.2 billion, of which 95 percent is allocated to growth projects and 48 percent outside Greece, ensuring risk diversification.
Regarding financing, 54 percent of capital expenditures is expected to be financed through operating cash flows, 31 percent through increased net debt, while the Share Capital Increase is expected to finance 15 percent.
The Share Capital Increase also aims to ensure that the Net Debt to EBITDA ratio remains significantly below 3.5x, in compliance with financial covenants under existing borrowing.
Extraordinary General Meeting and indicative timetable
The Board of Directors of PPC S.A. decided today to convene an Extraordinary General Meeting to decide on authorizing the Board, under Article 24 of Law 4548/2018 and the Company’s Articles of Association, to decide on the Share Capital Increase, the abolition of preemptive rights under Article 27 paragraph 1 of Law 4548/2018, the method of distribution of the New Shares and their listing on Euronext Athens.
The Extraordinary General Meeting has been convened to meet on May 14, 2026.
Subject to shareholder approval, the Share Capital Increase is expected to start and be completed by the end of May.
Citigroup Global Markets Europe AG and Goldman Sachs Bank Europe SE act as International Coordinators and Joint Bookrunners exclusively in relation to the International Offering.
The Chairman and CEO of the PPC Group, Georgios Stassis, stated:
“The PPC Group is entering the next major chapter of its development and moving up a level, leveraging opportunities in Central and Southeastern Europe.
We clearly see the need of the wider region for more, cleaner and flexible energy production and we are determined to meet this need.
We are building on the strong financial foundations we have created in recent years and on our expansion outside Greece so far.
At the same time, we are actively developing a 300 MW Data Center in the former lignite region of Kozani in Greece, which will utilize local energy production and create new economic value for the region. The Share Capital Increase will ensure that the Net Debt to EBITDA ratio remains significantly below 3.5x and will also provide the ability to capitalize on attractive opportunities. With a prudent and at the same time visionary strategy, we choose to invest today to cover the emerging gap and contribute decisively to the energy security and development of Central and Southeastern Europe.”
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