Greek Assets Fund to Open Bids for Piraeus Port Authority

Photo source: OLP

Bids for the majority stake in the Piraeus Port Authority (OLP) were set to be opened on Tuesday, the Greek privatization fund TAIPED announced.

The privatization fund has not disclosed the number of binding offers for a 67 percent stake in OLP which were submitted to Morgan Stanley in London, but reports indicate that the only bid currently being examined is that of Chinese group Cosco, which according to Greek daily Kathimerini, has described its tender as being “particularly satisfactory”.

The other main contender, Danish conglomerate Maersk, has reportedly chosen to instead express interest in the port of Thessaloniki, submitting its binding offer in three months’ time, when the procedure opens.

According to reports, Cosco’s bid for a 67 percent stake in OLP is likely to come to a total of 400 million euros. The group did however add that it expects TAIPED will demand an improved offer.

The listed Chinese shipping giant has managed the port’s two central container terminals since 2008, when it inked a 35-year deal with the Greek government. The port has since seen an eightfold increase in commercial traffic with companies like ZTE and Hewlett-Packard using the cargo terminals as logistics hubs for their merchandise.