PPC Plans €500 Million Senior Notes Offering for Expansion Projects

Overview

PPC, a leading Greek energy company, announced its plans to raise €500 million through a senior notes offering. The proceeds from the offering will be used to fund the company's expansion projects and strengthen its financial position.

Details of the Offering

The senior notes will have a maturity of 7 years and a coupon rate of 4.5%. The notes will be offered to institutional investors in Europe and the United States.

PPC has mandated a syndicate of banks to lead the offering, which is expected to close in September 2023. The notes will be listed on the Luxembourg Stock Exchange.

Use of Proceeds

The proceeds from the senior notes offering will be used to fund PPC's expansion projects, including the construction of new renewable energy plants and the upgrade of its existing infrastructure.

PPC plans to invest €1.5 billion in renewable energy projects over the next five years. The company is targeting a 60% share of the Greek renewable energy market by 2025.

Financial Impact

The senior notes offering will strengthen PPC's financial position and provide the company with the flexibility to pursue its growth plans.

The notes will increase PPC's debt-to-equity ratio, but the company's strong cash flow and low cost of borrowing will mitigate the impact on its financial leverage.

Analyst Commentary

Analysts have welcomed PPC's plans to raise €500 million through a senior notes offering. The offering will provide the company with the financial resources to fund its expansion projects and strengthen its competitive position.

Analysts believe that PPC is well-positioned to benefit from the growing demand for renewable energy in Greece and the European Union.