The book-building process for ADMIE Holdings’ capital increase opens today, with the market expecting oversubscription of more than four times and indications suggesting pre-marketing bids approaching €1 billion.
Regarding the offering price, given that the stock closed yesterday at €4.17 and factoring in a small discount, the market estimates that the book will open in a range of €3.80–€3.90.
It should be noted that trading volume in recent days has been quite high; yesterday it reached approximately 2.7 million shares, while a total of nearly 27 million shares have changed hands over the past month.
The book closes on Thursday, June 18, and following settlement, trading of the new shares is expected to begin next Tuesday, June 23.
Once the market has covered the €250 million, the entire capital increase of €1 billion is secured, as the remainder is “locked in” by the Greek government, which holds 51% of ADMIE, and the Chinese shareholder State Grid, which controls 24%.
The Greek government holds 51% of the Operator’s shares, through DES ADMIE (25.5%) and through ADMIE Holdings (26.1%). This means that it will contribute €530 million to the capital increase, of which approximately €370 million will come from the Recovery Fund and the remaining €147 million will be covered by the DES ADMIE fund.
The difference between €470 million and €1 billion will be covered by €240 million from the Chinese investors (24%) and €250 million from the market.
As for existing shareholders, there will be a priority allocation, as was the case in the recent PPC capital increase, so that they maintain at least the same percentage of ownership after the capital increase.
Which funds will participate in the offering
Attention is focused on the names of the foreign portfolios that will knock on the listed company’s door, where, in addition to long infrastructure funds—such as those with which the management teams of ADMIE and ADMIE Holdings have met to date— it is estimated that we will also see hedge funds like those the company wants to attract.
Its primary objective is for hedge funds to constitute a certain percentage of the Operator’s new shareholder structure, so that trading can take place and the stock has the necessary liquidity as part of the implementation of the company’s new investment plan, totaling 6 billion euros by 2029.
The lion’s share of the €6 billion will be absorbed by three major interconnections: those of the Dodecanese, the Northwest Aegean, and the second cable to Italy, which is the heavy artillery in the Operator’s plan.
In practice, ADMIE’s capital increase implies, as announced by the company’s management:
- An annual profit increase of 25–30% through 2029 for ADMIE, thanks to €6 billion in investments.
- A more than doubling of the Regulated Asset Base, which is estimated to reach approximately €7 billion, up from €3.3 billion at the end of 2025.
According to statements by ADMIE CEO Manos Manousakis, the average annual growth rate of 25%–30% is one of the highest growth rates for a transmission system operator in Europe, with these figures being assured, as the operator’s main activities are fully regulated.