Greece delays gas utility bid deadline to third quarter

ATHENS: Greece has delayed a bid deadline for its dominant gas supplier DEPA Commercial until the third quarter as a result of technical and other issues resulting from the coronavirus pandemic, two sources close to the matter said on Monday.

The Greek privatisation agency last year shortlisted seven investors for a 65% stake in DEPA Commercial and the deadline for binding offers was due to expire this month.

But that has been moved back until the third quarter over an outstanding litigation issue between DEPA and another Greek firm over gas prices, while COVID-19 restrictions hindered bidders from visiting to conduct due diligence, one of the sources said.

The privatisation agency declined to comment.

The seven investor groups that have qualified to bid include two consortiums, one between Hellenic Petroleum and Italy's Edison International Holding and the other including Motor Oil and Public Power Corp..

The individual bidders are Copelouzos Group Gas Limited, GEK TERNA, Switzerland-based energy group MET Holding, Mytilineos and Shell Gas. The preferred bidder will also have the option to buy the remaining 35% stake in DEPA Commercial that Hellenic Petroleum owns if Hellenic doesn't acquire the 65% stake.

Greece aims to raise 1.8 billion euros ($2.14 billion) from the sale of state assets this year, up from about 50 million euros last year, as part of efforts to help its fragile economy emerge from the pandemic after a decade-long financial crisis.

The binding bid deadline for the sale of gas distribution network DEPA Infrastructure has also been delayed until June from March, one of the sources said.