Giorgos Prokopiou seems to be acquiring a stake of more than 30% in Asteras Vouliagmenis. Despite the fact that until the last minute, reports that Prokopios' offer would exceed €300 million were not confirmed, the same sources considered the accuracy of the price to be very likely, and this is because it reportedly exceeded the offer of another Greek shipping company by €100 plus million
On the contrary, the same sources took it for granted that the deal would involve the entire 220-acre site, including the Four Seasons premises, plus anything that has been passed on to Astir Beach One-person—a detail that is of great importance, highlighting the scope of the deal. That's because as of January 2023, a company has been formed, which came from the partial split of the beach and beach operating divisions.
Specifically, the single person is registered (2/1/2023) in the General Registry of Commerce and Industry and is also registered in the Annual Report of "Astir Palace Vouliagmeni.". The tycoon knows the area inside and out from his previous multi-year tenure on the operator's board before it was sold to Jermyn Street Real Estate Fund (specifically one of its subsidiaries of Arab-Turkish interests, Apollo Investment Holdings Co.). At the time, the deal had been done under strangling pressure from lenders on the management of NBG, with the Hellenic Republic Asset Development Fund pricing it at €400 million, a price that, according to independent industry research and evaluation firms, was at least once undervalued.
Other times, however, with the Arabs and Mr. Dogus, for €400m, acquiring one of the most idyllic Mediterranean fillets, for those in the know, better than Pampelonne Beach in St Tropez. In practical terms, and assuming the information is confirmed and signatures are dropped, AGC is selling for a €600 million profit—just from the difference between the price and the Prokopiou offer.
But let's start at the top: in October 2016, Apollo and Ferit Sahenk paid €393.1m for 88.5%, then Four Seasons took over management and completely renovated Arion and Nausica (costing €140m). Due to COVID-19, the whole complex was opened in June 2020, but from May 2021, three share capital reductions were carried out with a cash return to the main shareholder, i.e., Apollo. In 3 moves the capital share was reduced by €160m (31/5/2021), followed by a second reduction of €37m (15/11/2021) and a year later (1/11/2022) a reversal with a €90.4m RMA, but with a capitalisation of an amount in favour and the issue of 30,133,333 ordinary shares.
What does this mean? An income of €287 million to the shareholder. This does not include the dividend income, which, indicatively for the 2022 financial year, was proposed to distribute €95.5 million. If the income from land sales, etc. is added to this, the Arabs have been running a very profitable business since 2016—in essence, since 2020. Based on the €900 million-€1 billion (for the whole complex), the Prokopiou side obviously has in mind that, on the one hand, it will have revenues (from actions similar to Apollo Investment); on the other hand, it will have surplus value, as combined with the Hellenikon project it contributes to the overvaluation of most of the coastal area.
The shipping and real estate tycoon looks forward to a horizon of late 2026, when according to the latest Lamda Development presentation the Riviera Tower will be delivered and the first owners will enter the luxury villas of Ellinikon, and of course further afield. There are many unanswered questions regarding the deal, particularly in regards to what it will include. For instance, although Vouliagmeni Marina is not a part of Astir Palace's portfolio, the same shareholder owns it. How? There was a previous agreement (19/12/2022) with Apollo Investment for the sale of all shares for €149.4 million, which... Unlisted company, as they had arranged for the exit of ASTIR, February 2017, following a mandatory public offer by Apollo Investment to the investing public, at a price—at that time—of €5.48 per share
