Hello, Mitsotakis was very careful yesterday in his first interview after the Thessaloniki International Fair on Antenna (with Hatzinikolaou). He dropped the line, for good measure, that it is the people who elect the prime minister and not the power brokers, but I would say he should rather be hoping that… the power brokers do the electing. Because that seems to be the only sure way for him to get re-elected, since these so-called brokers have an unfailing instinct for making the wrong choice! Since 2023 we’ve seen the “ready-made Nikos,” then Kasselakis, now Tsipras stepping down and Dendias stepping in; generally, necessity becomes virtue. I noted carefully that he said nothing about Karamanlis and Samaras, because as we said yesterday…softly, quietly, as they say.

KYSEA – Piri Reis

M.M. didn’t much like the warlike tone of the leaks about the joint forces exercise of the Armed Forces, which started, as usual, without prior notice, and was linked to the Piri Reis, which still hasn’t left the port of Smyrna. And he especially didn’t like it because it set a harsh tone ahead of the Mitsotakis–Erdogan meeting next week in New York. That meeting seems to be one of the most critical of this period, since it doesn’t have a concrete “deliverable,” unlike other encounters. It remains to be seen whether it will extend (a little) the calm waters, or mark the start of a new escalation phase.

A different tone

Of course, just before Dendias left M.M. and delivered the quip about how old the Piri Reis is, Foreign Ministry spokeswoman Lana Zochiou, who was briefing diplomatic correspondents, was adopting the diplomatic language: “we are monitoring the issue closely” and “Greece safeguards its sovereign rights.” In short, (once again) a different climate between Vasilissis Sofias Avenue and the Pentagon… Let me note two things: first, these little vessels like the Piri Reis were never aircraft carriers for us to fear them, but we all know what their real job is. And second, be careful not to get burned during the warm-up.

Ideas about Libya

I understand that in yesterday’s KYSEA discussion, when the issue of flows from Libya toward Crete was being analyzed, Plevris among other things said that the scenario of a more dynamic show of force at sea should be evaluated, if arrivals continue. The central idea is that the images of dinghies arriving in Gavdos and Chania are not flattering, so the government may revise its strategy. No decision was taken, and of course it’s not an easy one. Let me also tell you that the minister responsible for the Coast Guard, Vassilis Kikilias, was absent from yesterday’s session due to a scheduled trip abroad.

Gerapetritis and the “blue” MPs

Around 17:30 yesterday, a friend of mine saw a lot of movement and many cars at New Democracy’s headquarters on Piraeus Street. I asked and found out that Foreign Minister Giorgos Gerapetritis had called, in coordination with ND’s general director Giannis Smyrlis, the ND MPs who sit on the Foreign Affairs and Defense Committee. Participation was almost universal, with 1–2 justified absences, and the discussion lasted more than two hours covering everything. Greek–Turkish relations and Turkey’s broader role, Libya after the announcement of resuming EEZ talks with Tripoli, energy issues, the situation in the Middle East, and the role of the U.S. were all on the table. I’m told the conversation took place in a good climate. After all, if there’s one thing that can be credited to Gerapetritis, it’s that he regularly briefs the parties and, in this case, ND’s MPs.

Drought – nightmare – elections

Let’s leave current affairs aside now for an issue that, as it unfolds, if not properly assessed and addressed in the next 12–18 months, will explode in the government’s hands, right in the middle of the election period. This is the drought, mainly in the capital. Even with the most optimistic estimates and forecasts—meaning, if it rains or snows more than it did this year and last year—we will just barely make it through 2026, but not 2027. According to experts, the problem is dire. The government has held some talks about whether PPC should take over municipal water companies (or share responsibility), but beyond this the major issue is Athens itself. Immediate solutions are needed there, because as I’m told, they won’t know what to do. Water rationing in Athens in 2026—or 2027?

Blackrock and PPC and Athens Airport

Let’s leave behind the unpleasant and move on to the pleasant, which are business-related, though they may not materialize, since we’re talking about multibillion-euro deals — and such deals are never easy. So, during these days when Blackrock representatives were in Athens and met with many key officials, they expressed serious investment interest in both PPC (Public Power Corporation) and Athens International Airport “Eleftherios Venizelos.” I find both prospects difficult, not least because they’re not strictly government matters, but still, note the strong interest of a powerful investment organization like Blackrock, which maintains excellent relations with the Trump system in the U.S.

The businessmen who go to Dubai for… stem cells

And since Piri Reis, drought, Blackrock, etc. are heavy topics, let me switch to something lighter. The entire social scene of Athens, along with certain well-known businessmen, has recently been traveling feverishly to Dubai. Not to enjoy the luxuries the Arab destination has to offer, but because in Dubai they administer stem cell treatments freely, without much procedure or bureaucracy. Stem cell therapies are said to rejuvenate the body and, in any case, are believed to help with everything from baldness and cataracts to osteoporosis and diabetes. Gossip has it that, from the business world, the most frequent travelers to Dubai for stem cell treatments are two prominent and successful businessmen, both residents of the southern suburbs, both known from time to time for their fondness for the opposite sex, and who happen to have very (very) young wives. One is highly successful in the shipping sector and impresses with how well he maintains himself past seventy. The other, nearing seventy, is very successful in commerce and retail, although his company’s stock performance has disappointed shareholders.

The U.S. Interior Secretary, Elefsina, and the Great Port

The visit of U.S. Secretary of the Interior Doug Burgum to Greece last week — the first official visit by a member of the new Trump administration to our country — continues to leave ripples. Beyond the official announcements and smiling photo ops, there was also a hidden agenda behind closed doors. Because, as Konstantinos Karamanlis used to say, “there are things that are said but not done, and things that are not said but are done.” Moving on. In small meetings, I hear the American Secretary put on the table the issue of the Port of Piraeus and the Chinese company Cosco. This matter has been simmering for some time, and Doug brought it to the attention of the relevant authorities. I hear the Americans are looking for alternative solutions in logistics and supply chains. It may not be a coincidence that, as we recently reported, the U.S. state development bank DFC, which has already approved a €125 million fund for investments in those shipyards, will also be putting more money into further developing Elefsina. In light of the new perspective on Piraeus, the Americans’ aim through DFC is to make Elefsina a hub supporting shipping, the energy transition through cutting-edge technologies, the allied fleet, and the development of strategic logistics for commercial shipping, defense, and energy.

The new Executive Chairman at PPA

By the way, I hear from my sources that if not today, then in the coming days, the new Executive Chairman at PPA (Piraeus Port Authority) will be announced. He is already in Greece and intends to sort out outstanding issues at a peculiar time for the port and Cosco, with the Americans lying in wait. I’m also told that the contractually mandated investments have been delayed, and that may well become the next episode in U.S.–China relations. We’ll see.

The “renaissance” of Stadiou Street brings Primark

The large property on Stadiou Street — once home to the Fokas department store and later earmarked by Brown for conversion into a hotel — has apparently become a “bone of contention.” According to a fashion industry entrepreneur, the Israeli group backed out, leading e-EFKA to plan a restart of the leasing process. Since a hotel-use permit was ultimately not granted for the building, it is considered certain that the potential buyer will come from the broader clothing–fashion sector. This aligns with the “renaissance” of the area (starting from the beginning of Stadiou Street), with the upcoming opening of the Food Center/Arsakeio expected in early December, and the full renovation of Alpha Bank’s buildings (towards Klafthmonos Square) — developments that have not gone unnoticed by entrepreneurs. The same goes for 2–3 foreign brands investing in promoting Athens as a city-break destination and looking for buildings and facilities in the area. Indeed, according to the same entrepreneur, the well-known retail chain Primark has shown investment interest in entering the Greek market, specifically in central Athens (Syntagma–Omonia).

The “clouds” and rebranding for Vardas

The historic clothing company Vardas is facing a… barrage of foreclosures. Just yesterday, Wednesday, three auctions for company properties (offices, shops) in Pikermi, Chalandri, Kantza, and Thessaloniki were posted on the electronic platform. These auctions, initiated by private creditors (not banks or servicers), are scheduled for October 1 and 30, though they may be suspended before then. More broadly, the emblematic company, active since the late 1930s, is burdened with serious financial problems, like much of the sector due to successive crises. It should be noted that the foreclosures target General Clothing Construction S.A., which is in “liquidation,” with long-time head Theodoros Vardas as liquidator. According to its 2023 financial statements, the company had accumulated losses of €17.13 million, negative equity, and total liabilities of €46.8 million. It “faces liquidity problems and has overdue obligations to the State, which have been restructured and are being paid in installments totaling €1.36 million, while it has exhausted borrowing options since it is heavily indebted, under new agreements, but is not servicing that debt.” Moreover, on September 9, 2024, the company was served with a European Payment Order from the Wedding District Court in Berlin, Germany. “Following this, the company’s bank accounts were frozen and all staff dismissed. Despite this, management intends to continue operations through consignment sales via third parties,” it is stated. At the same time, however, the historic brand recently unveiled new signs as part of its own rebranding and continues to maintain a presence in the market under the name Varda, essentially through N & T Vardas IKE, run by the next generation — Theodoros Vardas’ daughters, Natalia and Tatiana. The company has 12 stores and an e-shop, and reports positive financial results with rising turnover and profits.

110 analysts and fund managers

More than 110 analysts and fund managers — a record number, apparently — participated yesterday in an investor call for GEK TERNA’s new bond. It will have a 7-year maturity and is expected to offer an interest rate slightly above 3% (while today Greece’s 7-year sovereign bond yields 2.9%). The company aims to raise €350–500 million, with the public offering starting on Monday, September 23, and the bond scheduled to trade on the Athens Exchange on September 30. The bonds, with a nominal value of €1,000 each, will be covered 30% by retail investors.

G. Gouroukos and the €1 million house in “the Village”

A friend who was in Kimolos a few days ago overheard a conversation about shipowner Giorgos Gouroukos. According to what he told me, G.Y. bought a large house — a mansion, really — in Chorio. When I asked what the village was called, my friend explained that Kimolos is the only Cycladic island where the Chora (the capital) is referred to as Chorio (“village”). The price is said to have exceeded €1 million. The shipowner appears to have fallen in love with the island. He immediately made socially-minded donations, covering the costs for the restoration of parts of the main school building, while also donating all the air conditioners. I was also told he reached out to the Afentakeio Foundation of Kimolos, which is soon expected to open a Day Care Center for the Elderly.

Aegean: The Israelis and cash flow

One of Eftichis Vassilakis’ remarks stood out at the close of yesterday’s Aegean conference call with analysts. After stressing that he remains cautiously optimistic about performance in the coming quarters, he focused on the airline’s cash flows. The reference was clear, as Aegean’s stock came under pressure yesterday (closing down 2.84%) because some investors gave more weight to operating performance (flat sales year-on-year, EBITDA -2% annually), which was affected by competition (capacity increase by a significant number of airlines flying to Greece) and the crisis in the Middle East (suspension of flights to Israel, Lebanon, and Jordan in May–June), rather than the net result, which rose 24% year-on-year — mainly due to €22 million in FX gains from the euro’s appreciation against the dollar and lower fuel prices. It should be noted that according to results, net operating cash inflows amounted to €253 million at the end of June, while excluding lease liabilities, the group showed net cash reserves of €424 million at the end of June, up from €385 million at the end of 2024. The key point, however, is that Aegean has ahead of it the traditionally very strong third quarter, which — besides the strengthening euro and low fuel prices — includes peak summer season and, of course, the routes to Tel Aviv, Beirut, Amman, and Erbil, which were gradually restored from mid-July onward after being suspended in Q2 due to events in the region. To give an idea of scale, the airline’s CEO mentioned that Aegean had nine daily flights to that region, plus various connections from Athens to other destinations, all of which were lost during the suspension. Despite the difficulties, Aegean managed revenue growth above the market average in Q2 and now faces what looks like a strong Q3. Demand remains at satisfactory levels, with load factors at 85% in July–August, while average revenue per flight is expected to be only marginally lower in Q3. In this context, NBG Securities maintained its €19.20 price target for Aegean shares with an “outperform” recommendation — about 40% above current levels.

Investments in port infrastructure – Priority on Alexandroupolis

The newly established Hellenic Innovation & Infrastructure Fund (HIIF), which will act as the investment arm of the Hellenic Corporation of Assets and Participations (HCAP), has the advantage of enabling the government to push forward major projects implemented by market players and institutions. According to reliable sources, HIIF’s first major move will be in port infrastructure, especially the Port of Alexandroupolis, which seems to be heading towards a major Hub tender. This means the tender will not only include investments in the port but also in the airport and land for logistics. With initial capital of €303 million, HIIF aims to mobilize a total of €1 billion in investments.

Why Credia Bank’s stock slipped

The Malta Stock Exchange (MSE), headquartered in Valletta at the “Garrison Chapel” in Castille Place, saw HSBC Malta shares fall to an 18-month low of €1.31, as some expected 70% of the bank to be sold for €300 million. The fall of the Maltese bank does not explain yesterday’s sharp drop (-7.64%) in CrediaBank, which had actually managed to pay €200 million for that 70% stake in HSBC Malta. Additionally, Hellenic Bank’s stock is highly concentrated: 57.6% of its share capital is controlled by Thrivest and 36.16% by the Hellenic Financial Stability Fund (HFSF). Since these two shareholders (93.7%) have no reason to sell and are not generally active in the market at present, yesterday’s decline likely had very short-term goals. After all, CrediaBank’s stock has gained +102% in the past quarter and +128% since the start of the year.

TITAN is not doing well

It could be due to the sharp slide in the dollar exchange rate (€1 = $1.1850). Or investors’ displeasure at a €75 million net profit loss from the sale of its Turkish subsidiary. Or the unfavorable international geopolitical environment. The fact remains: since February 10, when TITAN’s share hit a high of €45.8, things have worsened. On April 7 (“Black Monday” for markets), the stock plummeted to €35.6, later climbed back to €42.3 on May 28 when it cut a €3/share dividend, but never recovered — now hovering at €36.5. Meanwhile, on the derivatives market, more than 400 contracts are giving an additional discount of about 1% or more. Operating profits for H1 rose slightly (+2%), but group net profits fell sharply due to the loss from selling Adocim in Turkey, higher depreciation, and increased minority rights (Titan America). TITAN has slipped to 14th place on the Athens Stock Exchange in terms of market capitalization (€2.8 billion).

A lesson in hesitation and insecurity

A sudden order to buy 2.6 million Alpha Bank shares appeared at the end of yesterday’s session and then…disappeared from the terminals within seconds. This is indicative of the mood that prevailed yesterday at the Athens Stock Exchange. Tomorrow marks a triple witching day in the Derivatives Market (September triple witching — futures and options on indices and stocks expire simultaneously). With a lack of strong buying interest from abroad, the market is focused on short-term tactical moves and covering basic needs. Trading activity was high, at €245 million, of which €47 million were pre-agreed block trades. The General Index held the 2,020-point level, closing at -0.67%, but during the session it had alarmed the market with a drop of -1.17%, below 2,010 points. At the close, no banking stock was in positive territory, while among large-cap stocks notable declines included: Aegean -2.84% to €13.7, Ellaktor -1.96%, PPC -1.27% to €14, Elvalhalcor -1.25% to €2.76, Jumbo -1.08% to €31.4, and OPAP -0.97% to €19.48. Metlen reacted with gains of +0.60% to €52.7.

The burden of private debt weighs on the Trump administration

The U.S. federal debt exceeds $37 trillion. Household debt, however, has reached a record $18.7 trillion. This means that each adult in the U.S. owes about $63,000. Official data show that consumer loans surged by $16 billion in July, reaching $5.06 trillion. Over the past five months, consumer credit has increased by $103 billion. Revolving debt (credit cards) rose by $10 billion to $1.31 trillion, the highest since November 2024. Non-revolving credit, which includes auto loans and student loans, rose by $6 billion, reaching a record $3.75 trillion. The proportion of loans more than 90 days past due is increasing, especially in credit card and student loan debt. Notably, 10.2% of total student debt is over 90 days delinquent, based on Q2 2025 data.