Beta Sec: Daily Report 20 ΔΕΚ 2021 (Market monitor, Market Comment, In the Spotlight)


¢    Market Comment

The late selling spree at the ASE on Friday, associated with the December triple witching, offset more than half of Thursday’s gains for the benchmark and confirmed this was a losing week for the Greek stock market. Sellers focused mainly on bank stocks, with the positive impact from the European Central Bank pledge of support to Greece proving remarkably short-lived.

  •  The Athens Exchange (ATHEX) general index closed at 887.50 points, shedding 0.60% from Thursday’s 892.83 points. On a weekly basis it declined 1.24%. The large-cap FTSE-25 index contracted 0.79%, ending at 2,128.71 points, and the banks index decreased 2.79%. FTSE Mid Cap retreated 0.69% to 1,486.94 points. Eurobank gave up 3.38%, Alpha fell 3.07%, Hellenic Exchanges lost 2.94%, ElvalHalcor conceded 2.90% and GEK Terna gave up 2.59%. Hellenic Petroleum rose 2.98%, Jumbo advanced 1.70%, Viohalco improved 1.51% and Coca-Cola HBC earned 1.40%.

In total 34 stocks posted gains, 74 counted losses and 53 remained unchanged. Turnover amounted to €83.5mn, up from Thursday’s €64.6mn.

  • As we are entering the last 2 weeks of trading sessions for 2021 a window dressing is likely to appear. Concerns on elevated energy prices and inflationary pressures remain intact. Omikron variant and new attempts worldwide to reverse its expansion weigh negatively. A negative session expected for today.

  •  In the Spotlight

Greece/Economy: The Parliament approved Greece’s 2022 budget 158-142 Saturday, with only the ruling conservative New Democracy party voting for the budget as a whole.

 

Greece/Job Vacancies: Greece’s job vacancies rose 56% in then third quarter compared to the year-ago period, while they advanced 24% compared to the previous quarter, data from the National Statistics Service of ELSTAT showed. In the third quarter of 2020, the respective rate of change was -25%. Job openings amounted to 15,125 in the third quarter compared to 9,685 in the respective quarter of 2020. The number of job openings in the second quarter was 12,181.

 

Greece/Wages Index: Greece’s wage growth index declined 2.5% y-o-y in the third quarter, while it rose 1.2% on a seasonally-adjusted basis, data from the National Statistics Service of ELSTAT showed. The wage index adjusted for the number of working days, recorded an drop of 3.2%, NSS said.

 

Greece/Private Sector Arrears: Individuals and businesses’ new tax debts to the state rose by €627mn m-o-m in October, reaching €4.4bn data from the Independent Authority for Public Revenues showed. The number of state debtors increased to 4.3 million from 3.6 million in the previous month.

 

Greece/Central Government Account Balance: Greece’s central government cash balance recorded a deficit of €13bn in the first 11 months of the year compared to a deficit of €19.5bn in the respective period of 2020, data from the central bank showed. The primary position was negative by €7.3bn against a deficit of €13.4bn in the January-November period of 2020. Ordinary budget revenues stood €42bn, higher from the year-ago figure of €38bn while spending stood at €55.5bn versus €54.9bn in the respective period of 2020.

 

GEKTERNA: The European Bank for Reconstruction and Development said it invested €25mn in GEK Terna’s €300mn 2.3% coupon 7-year senior unsecured Sustainability Linked Bond. The proceeds of the EBRD participation will be used exclusively for refinancing and working capital needs. The bond includes a sustainability feature with a target to reduce the Group’s CO2 intensity by 25% by 2025 compared to 2021. Not meeting this target would lead to an 0.20% increase in its coupon.

 

ELVALHALCOR: ElvalHalcor on Friday announced the signing of two common bond loan issues worth €270mn. Both bond issues have a 7.5-year duration. The company signed a bond loan with National Bank, Alpha Bank, Piraeus Bank and Eurobank, worth €140mn. The proceeds of the bond issue will be used to refinance existing debt (€88mn) and to finance other business purposes (€52mn). Elvalhalcor also signed a bond loan worth €130mn with the same four systemic banks. The proceeds of the bond issues will be used to refinancing existing debt (€102mn) and other general purposes (€28mn).

ALPHA BANK: Alpha Bank announced on Friday it has completed the securitization of a loan portfolio worth €1.9bn with Christofferson, Robb & Company (CRC) as lead investor, along with AnaCap Financial Partners and the European Bank for Reconstruction and Development (EBRD). The “Project Aurora” portfolio concerns performing corporate loans and will relieve the lender’s financial report of provisions of €1.2bn, Alpha said. The transaction forms part of Alpha’s announced business plan “Project Tomorrow,” and is expected to contribute some 47 basis points to its Total Capital ratio 1 as of September 30, 2021. It has also completed Cosmos Portfolio sale to Davidson Kemper Capital Management regarding the 51% sale of mezzanine and junior notes of NPLs of €3.4bn.

 

PPC: PPC said it has signed an up to €300mn unsecured loan agreement, as a Revolving Credit Facility, with National Bank and Piraeus. The bond loan, which will be used for general corporate purposes, has a three year tenor and can be extended for two more years. The bond includes a sustainability linked KPI, for the reduction of CO2 emissions by 40% by December 2022 with 2019 as a base year.

 

NBG: National Bank said that it has entered into a long-term strategic partnership with EVO Payments to provide merchant acquiring and payment processing services. NBG’s merchant acquiring business will form the basis of a new company (“NewCo”) and EVO will acquire 51% of its share capital for a cash consideration of €158mn, valuing the bank’s division at €310mn. “In addition, there will be a long-term exclusive distribution agreement where NBG will offer to its merchants the market-leading, card acceptance solutions of NewCo, through the proprietary products and processing platforms of EVO,” NBG said. The transaction is capital accretive for NBG and is expected to increase the proforma CET1 and Total Capital Ratio by around 60bps as of 30.09.2021.

 

TERNA ENERGY: The company trades ex FY:21 gross interim dividend €0.17/share (net €0.1618/share) as of today.

 

DELTA TECHNIKI: As of today, the bonds of the company are traded on the Fixed Income Securities Trading Segment of the Alternative Market of ATHEX with new par value of €618.00 from €655.00 and excluding the right to participate in the repayment of the 2nd installment and the prepayment of part of the par value of the bonds of the company.

FOURLIS: On December 16, the company bought 2,000 shares at €3.88/share for a total consideration of €7.760K. Total treasury at 1,379,548 shares or 2.6483% of share capital.

 

ATHENS MEDICAL: The company concluded the sale of its maternity clinic GAI to OAKTREE for 13mn with €7.8mn payment as 1st instalment upfront and the bulk (€5.2mn) with a 3-year time horizon based on earnout clauses.

 

SPACE HELLAS: On December 17, the company bought 409 shares at €9.42/share for a total consideration €3.852K. Total treasury at 71,675 shares or 1.11% of share capital.

 

ELTON CHEMICALS: FY:21 sales to approach the €145mn threshold.

 

TITAN: Titan sells 27,175 treasury shares to 5 executives at €10/share.

 

LAMDA DEVELOPMENT: On December 16, the company bought 25K shares at €6.976/share for a total consideration of €174.404K. Total treasury at 177,970 shares or 0.101% of share capital.

ALPHA TRUST MFMC: On December 16, the company bought 265 shares at €4.98/share for a total consideration of €1.323K. Total treasury stands at 121,012 shares or 3.90% of share capital at an avg cost/share of €2.84.

INTRAKAT: Extraordinary GM approves BOD granting for SCI and convertible bond issuance.

 

B&F: The company bought 32 bonds at €1,000/bond for a total amount of €32K. Total bonds owned reached 932 bonds or 4.63% of the issue.

PROFILE: 110,355 stocks options at €1.7/share granted to 35 executives for €187.603K.

 

INFORM LYKOS: On December 15 and December 16, the company bought 1,333 shares at €1.51/share for a total consideration of €2.013K. Total treasury reached 156,540 shares or 0.76% of share capital.

HELLENIC EXCHANGES: On December 17, the company bought 21,000 shares at €3.6765/share for a total consideration of €77.206K. Total treasury at 152,173 shares or 0.2522% of share capital.

THRACE PLASTICS: On December 17, the company bought 3,099 shares at €6.6541/share for a total consideration of €20.621K.

 

KEPENOS MILLS: GM approved €2.271mn gross amount from past years’ profits (gross €0.339/share, net €0.32205/share). Ex-dividend date December 22, record date December 23. Dividend payment December 28.


Kind Regards, 

John Kalogeropoulos

Equity Analyst 

29 Alexandras Avenue

11473 Athens,Greece

Tel: +30 210 6478989

Email: ikalogeropoulos@beta.gr