QIA backs Greek utility’s $5bn capital top-up

Qatar Investment Authority (QIA) has backed the Greek state-owned Public Power Corporation’s (PPC) capital offering as an anchor investor.

The offering was oversubscribed, raising €4.3 billion ($5 billion) from primary shares and €250 million through a secondary placement of treasury shares, the Qatari sovereign wealth fund said in a statement.

PPC is Greece’s largest electric utility and a supplier of clean energy in Greece, Romania and North Macedonia. It is listed on the Athens Stock Exchange.

The capital top-up was supported by cornerstone investments from the Greek government, which subscribed for €1.3 billion, and by Aeolus Holdings, owned by funds advised by CVC Advisers Greece, which subscribed for €1.2 billion.

The new shares, each with a nominal value of €2.48, attracted significant demand from a number of global, long-term institutional investors, as well as from K Group Capital Partners, which is backed by QIA.

QIA and K Group discussed the investment opportunity during the Europe Gulf Forum in Greece this month, the statement said.

QIA’s subscription amount was not disclosed.

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This month, QIA and Cofides, a Spanish state-owned financial institution, agreed to establish a €300 million investment fund to support green transition, digital transformation and technological innovation in Spain.

In January QIA signed a preliminary agreement with Goldman Sachs, committing $25 billion in investments to US-managed funds and co-investment opportunities.

QIA has nearly $580 billion in assets under management, according to Global SWF, a data platform that tracks sovereign wealth funds.