The Greek stock market recorded positive signs for the second consecutive day, extending its 15-year high and approaching 1,900 points for the first time since April 2010. Daily trading activity was at a high level (over 300 million euros), which was accompanied by a large volume of packages of 50 million euros.

Specifically, in Wednesday’s (2/7) session, the General Index gained 8.93 points or +0.47% and closed at 1,893.97 points. It moved in a range of about 14 points, namely between 1,883.02 (low of the day) and 1,897.11 points (high of the day). At the same time, the GD gained +1.39% in the first two days of July and is “running” at a +28.87% pace this year. The next highest close was found on April 21, 2010 (1,936.43 points).

The shares of EFAE “took off” by around +15%, exceeding the Euronext price of 6.9 euros, which is a 9-year record (July 2014). Viohalco and its subsidiary ElvalHalcor recorded strong growth, with the latter exceeding the 4-year high (April 2021) of 2.5 euros. In contrast, HELLENiQ ENERGY lost over -6% due to the dividend “cut” today, while Intralot also retreated -5% on its return to the board in the wake of the big deal with Bally’s.

Focus on deals in HKE and Intralot

Investors were generally cool in the first session after Euronext’s takeover proposal for EFAE came to “rock the boat” in the domestic stock market. According to what has been made public so far, the possible voluntary public offer concerns the acquisition of up to 100% of the share capital. The proposal involves the exchange of shares, valuing HEXAE at EUR 6.9 per share and leading to a fixed conversion rate of 21.029 HEXAE ordinary shares for each new Euronext share (a premium of more than 14% over the last closing price of EUR 6.03). The offer values EFAE at EUR 399 million, implying 18x in P/E (price to earnings per share) and around 10.6x in EV/EBITDA (enterprise value to operating profitability) according to Euronext’s calculations, compared to 20.7x and 14.8x, which are Euronext’s current valuations, respectively.

Intralot returned to the board after a 24-hour trading suspension due to the deal in the works with a foreign company. Indeed, last night Intralot confirmed the information by announcing the agreement to acquire Bally’s International Interactive, with the enterprise value estimated at 2.7 billion euros. The deal includes €1.53 billion in cash and €1.136 billion in new Intralot shares worth €1.3/share and is expected to close in Q2 2025.

As part of the deal, Intralot will proceed with a share capital increase of up to €400 million and has secured bank financing of €1.6 billion. It is clarified that Intralot will remain listed on the Athens Stock Exchange. Meanwhile, Bally’s is set to become Intralot’s main shareholder (stake increases from 26.86% to 33.34%) following the acquisition of a 6.48% stake by its chairman, Soohyung Kim. The aforementioned transaction increased the Standard General fund strongman’s stake in Intralot to 33.34%, surpassing the 33.3% threshold, and triggering the mandatory public offering.

Without the right to receive the dividend of €0.55 per share (net amount of €0.5225 per share), HELLENiQ ENERGY was trading today. As a provisional dividend of €0.2 per share has already been distributed, the total distribution for the previous year amounts to €0.75 per share. The dividend payment date has been set for Wednesday, 9 July. Interlife also “cut” a dividend, which amounts to EUR 0.2 per share (net amount of €0.19 per share). The payment will start on Tuesday, 8 July.

The public offer for Aegean’s 7-year bond closed today. It is recalled that the company aims to raise to €250 million, with a yield of between 3.7% and 4.05%. Trading of the bonds is expected to start on Monday, 7 July. The annual general meeting of ADMIE was also held, where shareholders approved, among other things, the dividend for the previous year and the establishment of a share buyback programme.

Mixed picture on Wall Street – Gains in euro markets

Wall Street is moving at a slow pace, with the S&P 500 and Nasdaq correcting slightly after consecutive overshoots to historic highs. In contrast, the Dow Jones yesterday gained 400 points, or nearly +1%, consolidating above 44,000. Today’s session started downward due to weak US employment data, although the lost ground was subsequently recovered. The Dow Jones is down -0.3%, while the Nasdaq gains +0.5%.

Euro markets are up as investors assess the likelihood of reaching agreements between the US and its trading partners before the July 9 deadline, as well as the possibility of a further rate cut by the ECB. The pan-European Stoxx 600 index is unchanged at 540 points, Germany’s DAX gains +0.2% and France’s CAC 40 moves higher by +1%. Today’s session on Asian stock markets ended with mixed signs and small changes.