Hello, holidays and vacations are arriving with good weather, a bit of chill, and some snow, normal for the season. We hear about upcoming natural disasters almost every other day, but thankfully we don’t see them materializing. On the contrary, roads and shops are jam-packed, and hotel and airline bookings, both domestic and international, are nearly sold out. Not that this changes anything about the harsh daily reality of rising costs, but, well, like it or not, there’s now a sense of normality in the country—with all its problems, but still recognizable.

Maybe that’s why, or something like that, the political landscape at the year’s end seems to have reverted to “factory settings”—if we consider the latest polls reliable. Personally, I find the 4–5 major and well-known polling companies somewhat credible, though I don’t trust everything from some of them these days. I mean, between us, it’s a complete mystery how the government’s popularity suddenly skyrocketed in the past three weeks—according to one pollster—but I guess the numbers they’re showing now are closer to reality than the rock-bottom ones they gave three weeks ago. Who knows, maybe the guy was in a bad mood and has calmed down now, or maybe he saw some cheerful news, or perhaps the Christmas spirit got the better of him.

PASOK’s Front Running

To be honest, while popularity ratings and party percentages aren’t directly comparable, in our case, where New Democracy (ND) is now seen hitting 30%—and with projections, even 31%–32%—PASOK’s noticeable drop to below 20% plays a role. What’s happening to PASOK is similar to the stock market: when a stock starts rising earlier than expected and then drops just as prematurely—a bit like “front running,” as the experts call it. My source from PASOK’s “green fields” told me a week before Nikos Androulakis’s resounding re-election, “You’ll see, once he wins again, we’ll hit 20% by Christmas.” That did happen, but two months earlier—right after Nikolaos’s victory. Now, though, the balloon has started deflating, and… they don’t even have Giuseppe around to keep their stock value high.

Model Schools with Onassis Foundation

Today, K.M., freshly returned from the other side of the globe, where he’d been in Lapland, holds the year’s final cabinet meeting with an agenda packed with significant and interesting items for the new year, prepared by Skertsos. Among them, two noteworthy bills from Pierrakakis stand out. The more intriguing one involves the Education Ministry’s initiative, in collaboration with the Onassis Foundation’s donation, to establish 22 middle and high schools built to model-school standards in working-class neighborhoods of Athens and several “more challenging” regions of Greece. Seems like a good idea to me.

Masoutis Acquires Kritikos – Shakeup in the Supermarket Industry

And now, on to market developments—with a confession: I fell into the sin of laziness. In other words, I held onto this story for the post-holiday slump, to have something substantial to write. But events overtook me, and we now face a major deal brewing in the supermarket sector, poised to shake up the industry’s balance of power.

Here’s the news: Last week, the market buzzed with reports that Yiannis Masoutis, of the Masoutis chain, informed his executives about acquiring the Kritikos supermarket chain. This isn’t a completed deal yet; the information comes from Masoutis’s internal briefing. However, if the agreement goes through, Masoutis will climb to second place in the sector (alongside Lidl). Take note: my sources had previously caught wind of discussions between Nikos Vardinogiannis (of Real Consulting, etc.), backed by Carrefour, about acquiring Kritikos. Vardinogiannis, who’s launched around 30 small Carrefour stores across Greece, aims to expand into larger outlets and saw Kritikos as a ready-made infrastructure to build on. I’d saved this scoop for after the holidays, but Vardinogiannis’s talks with Kritikos seem to have halted due to Masoutis stepping in. I’d wager that Masoutis must be in advanced stages of the deal if he’s already briefing his team.

New Hire from OTE to DEI

An experienced telecom executive is moving to DEI (Public Power Corporation), adding another former “OTE-ite” to its management ranks. This is Nikos Skiathitis, previously head of Cosmote Technical Services, where he oversaw network operations. Starting next year, Skiathitis will hold a pivotal role at DEDDIE, bringing expertise in automated network management systems using big data and AI. These technologies enable organizations to detect faults remotely or even predict malfunctions before they occur—essential for smooth operations. Power grid operators place great emphasis on digitizing their functions to monitor and manage equipment remotely, addressing issues promptly and efficiently—something that once required significant time and manpower.

First Wave of Changes at OTE

A new status quo is emerging at OTE following long-anticipated organizational changes announced by the Nebis administration. Elena Papadopoulou is stepping down from the critical HR management post, with Panos Tsiantoulas—an 18-year OTE veteran—assuming the role of Chief Human Resources Officer. Tsiantoulas has proven his mettle at the demanding helm of e-value in recent years.

Elsewhere, Irene Nikolaidi is promoted to Legal Counsel—Chief Officer of Legal & Regulatory Affairs, Public Affairs & Corporate Governance. Panagiotis Gavriilidis becomes Chief Commercial Officer for the Consumer Segment, retaining his current responsibilities while overseeing Cosmote TV, Cosmote Payments, and OTE Insurance. Finally, after nearly 24 years, Depi Tzimea is leaving, with Dimitris Michalakis, credited for Cosmote TV’s success, stepping in as Executive Director of Corporate Communications, Sustainability, & Channel Productions. Michalakis will handle strategy for corporate communications, media relations, and sustainability. Notably, these changes represent the first wave, with further restructuring expected at lower management levels to optimize the new framework.

A. Skertsos on Bank Fees

A. Skertsos highlights the value of competition for the benefit of consumers and the importance of creating a fifth banking pillar in a social media post. This comes in light of the interventions announced by Attica Bank, which reduced bank transaction fees beyond the government’s measures. “This proves,” Skertsos writes, “who is genuinely working to foster greater competition and better services for the majority, and who merely resorts to easy slogans and complaints that don’t reflect reality.”

Johnson & Johnson Complains About Fines but “Forgot” to Publish Financial Statements

It doesn’t happen often, but when it does, it raises questions about how major multinational corporations view the Greek market. A case in point is Johnson & Johnson Consumer Products S.A., which “forgot” to publish its financial statements for the previous year (2023), even though 2024 is almost over. Despite repeated reminders from the Department of Support and Development of Information Systems at GEMI (General Commercial Registry) and YMS, Johnson & Johnson refused to publish its 2023 balance sheet. As a result, a decision was issued to suspend the company’s registration in GEMI. The final deadline for submitting financial statements was November 29, 2024. The multinational ignored notices from the relevant authorities, leading to the suspension decision on December 16 (Registration Code 4993736). Interestingly, this is the same company that often protests the fines imposed by the Ministry of Development for violations of the Price Cap Law. In inspections by DIMEA, it was found that Johnson & Johnson had increased the prices of dozens of its products by +50% to +300% in the first quarter of the year, resulting in another fine of €1 million. This case seems likely to develop further.

Hellenic Energy’s Expansion into Renewable Energy Sources (RES)

Hellenic Energy has made a strong entry into the RES sector. From just 28 MW in 2021, CEO A. Siamisis has brought the group to 0.5 GW of installed capacity today, with a development portfolio spanning three countries and exceeding 5.7 GW. Recently, the company announced the acquisition of 110 MW photovoltaic projects in Kozani and has invested €500 million in RES to date, with plans to allocate another €500 million over the next two years. Hellenic Energy aims to have at least 1 GW of operational projects by 2026 and more than 2 GW by 2030.

The New Ventures of Lou Kollakis

Real estate, combined with tourism, remains a steadfast avenue for shipowners. These two pillars also support the new ventures of Lou Kollakis’ children, of Chartworld, with George Bitsakis—investment director at Chartworld Shipping since 2006 and head of the family office—playing an active role. The newly established company “Tsakalof Development,” founded on December 19 with a share capital of €6.5 million, has Stefanos Pantelis Kollakis as chairman, Anastasia Chloe Kollakis as a member, and George Bitsakis as managing director. The company is involved in real estate development, management, and exploitation, as well as accommodation services (tourist lodgings). Those with sharp memories might recall that Lou Kollakis’ name surfaced last decade as a potential investor in Astir Vouliagmenis. Notable too is the family’s new project under planning in Rhodes, currently awaiting licensing. The Environmental Impact Study for the project was open for consultation last fall. The project, the “Aktaialia Hotel,” is a €10 million investment involving the development of a 5-star hotel with a capacity of 112 beds, consisting of furnished apartments on a 17,213 sq. m. property in Kiotari. George Bitsakis serves as chairman and CEO of “Aktaialia Hotels and Tourist Enterprises,” with Yiannis Botonakis as vice-chairman and Stefanos Pantelis Kollakis as executive member.

Plans for Ten Hotels

Thanos Michaelides, CEO of the Cypriot hospitality group Thanos Hotels & Resorts and president of the Cyprus Hotel Association, recently made waves in the market by securing a €107 million financing package from Piraeus Bank. Concurrently, Michaelides announced the relocation of his main financial activities from Cyprus to Greece, with the aim of creating or managing 10 new hotel units in popular tourist destinations within three years. Prior to signing the agreement with Piraeus Bank, Michaelides finalized a management agreement for Larnaca’s historic Palm Beach Hotel, which he plans to transform into a mixed-use, high-standard resort. The project’s total cost exceeds €110 million, marking the most significant tourism development in Larnaca. Now headquartered in Athens, Michaelides manages over €400 million in assets and operates five units—two hotels in Greece and three luxury resorts in Cyprus.

Looking Forward to the Deals of 2025

While 2024 may not have dazzled in terms of stock market returns, it has been a year where the Athens Stock Exchange played a significant role in raising capital and financing investments. The General Index has yielded a +12.32% return so far, with the Banking Index standing out at +22%, and dividends from this year’s financial activity expected to exceed €4.6 billion—the highest payout in 17 years. The year concludes with the largest business transaction in the history of the Athens Stock Exchange: the sale of TERNA Energy shares to the Abu Dhabi Future Energy Company PJSC (Masdar) for €1.66 billion. It wouldn’t be surprising if the first major deal of 2025 also has a Middle Eastern connection.

When Everyone Sells, Buffett Buys

Last Friday, approximately 21.7 billion shares changed hands on Wall Street—a record trading volume over the last four years. For comparison, the average daily trading volume this year is 11.6 billion shares. Despite Friday’s positive close of the major indices, the mood on Wall Street remains uneasy. Equity Mutual Funds recorded $50.2 billion in outflows during the week ending December 18—the largest outflows since September 2009. The volatility index, VIX, experienced the second-largest daily spike in its history (+74%). Many attribute this shift in sentiment to the Federal Reserve’s revised approach to dollar interest rates, while others fear the side effects of policies announced by Trump. Amid this atmosphere, Warren Buffett, previously a consistent seller of shares, emerged as a buyer. It was officially announced that last Thursday, Berkshire Hathaway purchased large quantities of shares in Occidental Petroleum, Sirius XM Holdings, and VeriSign.

Strange Days for Bitcoin

One of the challenges faced by cryptocurrency investors is the lack of reliable fundamental data. No one truly knows the actual supply and demand figures. Everyone witnessed what happened in the cryptocurrency market, particularly with bitcoin, after November 5 and Trump’s triumphant victory. Today, bitcoin is down -15% from its new record high of $108,000 reached last week.

One approach to analyzing the bitcoin market is its correlation with the global money supply. The global money supply hit a record high of $108.5 trillion in October. With an 8-week lag, bitcoin’s exchange rate skyrocketed to its all-time high of $108,000. However, over the past two months since October, the money supply has decreased by $4.1 trillion to $104.4 trillion, the lowest level since August.

If the 8-week lag correlation holds, technical analysts suggest bitcoin could lose up to $20,000 in the coming weeks. All this is happening to an asset that has more than doubled in value this year.

Lagarde’s Fight for Financial Literacy

The prevailing view in Frankfurt these days is that the messages conveyed by the European Central Bank (ECB) through its decisions and announcements take too long to “transfer” and “translate” into the real economy of the eurozone. According to ECB officials, this is largely due to financial illiteracy.

Christine Lagarde has decided to kick off the new year with a broad campaign for “financial literacy,” aiming to enhance economic efficiency and the effective execution of the ECB’s monetary policy. The initiative will begin in early January with a major event in Frankfurt featuring Anna Maria Lusardi, a globally renowned expert in financial literacy from Stanford Graduate School of Business and the Stanford Institute for Economic Policy Research (SIEPR). Lusardi has also taught at Princeton and George Washington University.

It seems, however, that the campaign will extend to other European countries shortly after, under the guidance of National Central Banks. Yannis Stournaras has already marked several dates in his calendar.