Athens International Airport to Launch IPO in February as Greek Government Reduces Stake

Athens International Airport (ATH) has unveiled plans to initiate an initial public offering (IPO) on the Athens Stock Exchange, marking a significant shift as the Greek government aims to decrease its ownership in the airport. The IPO is scheduled for February 2024, pending regulatory approvals and market conditions, according to ATH’s announcement on January 15.

Presently, the Greek government holds a majority stake of 55% in ATH through two entities: the Hellenic Republic Asset Development Fund (HRADF), with a 30% share, and the Hellenic Corporation of Assets and Participations (HCAP), which controls 25%. The IPO will comprise all the shares held by HRADF, with the government retaining a 25% stake via HCAP.

ATH anticipates that this IPO will be the largest in Greece in over 15 years, symbolizing a pivotal moment for Athens International Airport, the nation, and the local capital markets.

As part of the IPO, private shareholder AviAlliance, currently holding 40% of the airport’s shares, will have the option to acquire an additional 10%, as stated by ATH. Additionally, the Copelouzos family, owning 5% of ATH, will have the opportunity to acquire an additional 1%. If both parties exercise their rights fully, ATH will release 19% of its shares to the stock exchange.

While ATH plans to provide more comprehensive details in a forthcoming formal prospectus, the airport has highlighted its value to potential investors in a statement. It emphasized ATH as a prized Greek infrastructure asset with robust demand fundamentals.

Athens International Airport serves as the gateway to Greece’s capital, handling 35% of the country’s total air traffic. In 2023, it accommodated over 28 million passengers, marking a 10% increase compared to 2019.

The airport’s strategic location in the Attica region, Greece’s economic center, positions it to benefit from the resilience of leisure traffic and the extended tourism season. ATH also ranks as the ninth-most-connected hub in Europe, according to the 2023 ranking by OAG Schedules Analyser.

ATH is well-prepared for sustained growth, with plans to execute a three-phase expansion outlined in its master plan. The goal is to reach a passenger capacity of 50 million annually by 2046 without requiring additional land or runways, thanks to its existing infrastructure.

ATH CEO Yiannis Paraschis highlighted the importance of involving a broader group of investors, enabling exposure and access to capital markets to strengthen ATH for its future development phases.

Dimitris Politis, CEO of HRADF, which is divesting its 30% stake in ATH, emphasized the benefits of diversifying the airport’s investor base and its positive impact on the Greek economy. The IPO presents an enticing opportunity for both domestic and international investors to participate in the success story of Greek tourism and contribute to the local capital market’s growth.