Euronext does not increase its offer for the takeover of the Athens Stock Exchange

Pan-European stock exchange operator Euronext remains committed to transforming the Athens Stock Exchange (ATHEX) into a center for supporting the financial market in southeastern Europe, but rules out increasing its offer for the full acquisition of the Athens Stock Exchange, Reuters reports.

Stephane Boujnah, Euronext CEO, said yesterday, in a press conference in Athens: "We will not increase the price. So, if the offer is not successful, we will not complete it and we will withdraw from the negotiations. That is life, business life".

The current offer proposes one new Euronext share for every 20 shares held by ATHEX investors. The transaction is valued at over 410 million euros and is seen as a vote of confidence in the Greek capital market, notes Agerpres. It will also increase the visibility and attractiveness of the Greek financial market, analysts say, and Greek investors will have access to a network of over 1,800 listed companies, with a combined market capitalization exceeding 6 trillion euros.

Boujnah said the stock exchange operator also has strong confidence in the trajectory of the Greek economy and, if the bid is successful, intends to improve the attractiveness of the Athens Stock Exchange by encouraging Greek shipping companies listed abroad to return to the domestic market.

In the first seven months of this year, the Athens Stock Exchange index rose by 35.7%, the second-largest increase globally among the 75 major stock indices. The stock market is heading for its fifth consecutive year of growth, with an average annual advance of almost 20%, outperforming indices such as the MSCI ACWI and the STOXX Europe 600. Trading activity has also been solid, with average daily turnover reaching euro259.7 million in March and holding steady at euro224.8 million in July. Foreign investors remain a dominant force, consistently holding around two-thirds of the market capitalisation, underscoring sustained international confidence in the prospects for the Greek stock market.

Euronext's revised offer of euro7.14 per ATHEX share represents a 19% premium to the closing price on 30 June and a 27% premium to the three-month average price before the takeover announcement.