Indeed, ports generally are back in the limelight with the sale of the government’s stake in booming Piraeus is being pressed by creditors as it will be one of Greece’s biggest divestments, under a privatisation plan agreed between Athens and its creditors. Analysts say under the new terms the sale is likely to yield just short of the $563m originally sought.
However, things have changed with the government now set to call for new bids revising the stake size for its long-planned sale of the country’s port of Piraeus. Previous leading bidders will likely be asked to submit new bids for the 51% stake expected to be on offer, instead of the previous offer of the state's full 67.7% stake in the port, the de facto home of Greek shipping.
The government is also expected to reignite the process to sell-off its controlling stake in the Greece’s second port, Thessaloniki to the north, in which it also holds a 67% stake.
After pledging not to sell its controlling stake in the Athens Stock Exchange-listed ports, the leftist-led coalition government of Alexis Tsipras has been forced into a turnaround. Alternate Shipping minister, Thodoris Dritsas said, on 28 April, the privatisation of Piraeus would go ahead as "there are pressing conditions that no one can ignore." However, the minister said his personal focus is how the public nature of the port will be entrenched.
The sale of the booming Piraeus will be one of Greece’s biggest divestments, under a sell-off plan agreed between Athens and its creditors. Analysts say under the new terms the sale is likely to yield just short of the $563m originally sought.
The short-list of buyers, as it now stands, comprises China’s shipping and ports giant China Cosco Holding; APM Terminals, owned by Denmark's AP Møller-Mærsk; Ports America Inc., the biggest US port operator; and Philippines-based port operator International Container Terminal Services Inc (ICTSI).
Cosco and APM Terminals are the front-runners, with the Chinese company having the advantage of its terminal operator Cosco Pacific already holding a 35-year concession in two of the port's three fast growing container terminals. Further, the Greek government has been working hard to strengthen ties with Beijing which has indicated a willingness to take the risk and invest in the volatile country.
Cosco Pacific reported a 19.7% on-year increase in net profits to nearly $77m during January-March on higher volume and better operation performance. China Cosco board secretary Guo Huaweihas said: "Everyone can see our achievement in Piraeus… Cosco Group has been developing global business and will continue to look at any relevant investment opportunities."
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