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Newsletter November 2014


Samsung to Create Training Hub in Greece
Samsung Medison a subsidiary of the multinational giant, intends to create a training centre in the domain of healthcare equipment in Greece in cooperation with the University of Athens. The center will aim at training doctors and technical experts from Europe, the Balkans and the Middle East in new technologies.

Executive Vice President of Samsung Medison, Wayne Spittle, and the Chairman and Chief Executive of Samsung Healthcare Hellas, Constantinos Adamopoulos, presented the plan on October 2, 2014 to Development Minister Nikos Dendias.

Minister Dendias welcomed the group’s intention to invest in Greece and assured that his ministry would provide all necessary assistance to the project.

The minister also expressed the government’s determination to attract foreign investment to Greece and stressed the initiatives taken to improve the local business environment.

Chinese Interest in Greek Shipyards
The ambassador of China, A.E. Zou Xiaoli, senior officials of the Chinese embassy, the chairman of the Fujian Chinese shipbuilding group led by Chairman Zhao Jinjie, and Group executives visited Elefsis Shipyards. The shipbuilding group consists of five yards and employs approximately 20,000 persons. The Foreign Ministry's Secretary General for International Economic Relations, Panagiotis Mihalos and executives of Enterprise Greece accompanied the Chinese officials.

The management of the shipyards, led by Nikos Tavoularis, as well as executives of the Elefsis Shipyards workers’ unions, and Deputy Secretary General of the General Confederation of Labor (GSEE), Athanasios Danousis, greeted the visitors. During their visit, the Chinese officials toured the premises, exchanged views and experiences with the Greek representatives on general problems of the shipbuilding industry and shipping, and discussed potential partnerships for the continuation of their cooperation, which strongly interests both sides.

Fosun Group Inks Deal in Greece
China' biggest private conglomerate, Fosun Group, signed an agreement in Greece on June 19 to invest $200 million to develop the old airport in Athens, marking another step in the company's expansion in Europe.

The agreement was signed with Latsis Group, the parent company of real estate firm Lamda Development, at a ceremony in the Zappeion Hall during the visit of Chinese Premier Li Keqiang to the Mediterranean country.

The two companies will join hands to develop the former airport in the Greek capital at Hellenikon area, 8 km from downtown Athens, in which Fosun will invest $200 million, as well as seek broader cooperation in the future.

Oaktree - SANI Joint Venture
Oaktree Capital Management and Greek group Sani SA have announced the addition of a second luxury hotel to their portfolio, following the seaside resort Oceania Club in Nea Moudania in Halkidiki. The luxury resort group has acquired the Gerakina Beach hotel in Halkidiki from the National Bank of Greece for 17 million Euro. The three-star Gerakina Beach, which has been closed since 2012, is located in Poligiros, Halkidiki and has a capacity of 503 rooms with 955 beds. The luxury resort group plans to upgrade the hotel to a five-star unit.

The total investment is expected to exceed 100 million Euro. The portfolio of the Oaktree - SANI joint venture will consist of luxury resorts throughout Greece, each with a capacity of 500-600 beds.

Nikki Beach Debut
In August 2014 the luxury lifestyle hotel, Nikki Beach Hotels & Resorts, opened its doors on the bay of cosmopolitan Porto Heli, known as the Greek Riviera, just a two-hour drive from Athens. The new resort includes 66 luxurious rooms and suites, and a variety of Nikki Beach signature dining options, as well as a unique beach club location integrated with high-end lifestyle hotel services. Beachfront suites offer direct views of the Aegean Sea, while the rooms are equipped with an entertainment wall and oversized bathrooms, and in some cases private pools and decks. Nikki Beach Hotels & Resorts also offers refined cuisine in its three restaurants and lounges and an exclusive Nikki Spa.

Greek State Privatisation Fund Announces Investors for Afandou Properties on Rhodes
The Hellenic Republic Asset Development Fund (HRADF) recently announced the highest bidders of the tender for the development of two properties in Afandou on Rhodes, an investment expected to exceed 300 million Euro in total. The deal for the Afandou assets amount to 42.1 million Euro. US based M.A. Angeliades Inc. offered 26.9 million Euro and was declared the investor for the North Afandou plot; an area of 1.36 square kilometres that includes a golf course. T.N. Aegean Sun Investments Limited submitted an offer of 15.2 million Euro and was declared the investor for the South Afandou plot.

Energean Begins New $225-million Investment Programme in Kavala, Greece
Energean Oil & Gas, the international oil & gas exploration and production company focused on the Mediterranean and North Africa, launched a new $225 million investment programme to develop 30 million barrels of reserves in North West Greece and to increase production from the Prinos, Prinos North and Epsilon fields to 10,000 bbls/day by 2016.

The new investment programme involves the drilling of 15 wells and the installation of two new unmanned platforms for the Prinos North and Epsilon fields which will be tied back to the existing infrastructure Energean already operates.

In addition, Energean has purchased the tender assist drilling rig Glen Esk from KCA Deutag and will be utilising its own drilling crews to drill the wells, significantly reducing drilling costs and giving Energean operational flexibility to maximise recovery of the reserves from the Prinos basin. The new rig will be re-named 'Energean Force' and is expected to commence drilling in Greece in the beginning of December.

Commenting on the rig purchase and the beginning of the new investment programme, Mr. Mathios Rigas, Chairman and CEO of Energean Oil & Gas, stated:

“Energean has invested more than $250 million since 2007 and managed to keep Greece on the global map of hydrocarbon producing countries. Prinos, the only proven and producing oil field in Greece, has already produced 115 million oil barrels, even though reserves were initially estimated at 60 million oil barrels. Now Prinos is entering a new era, as Energean investments and scientific surveys have proven that there is significant scope for extracting additional production through the drilling of new wells and through the extended use of enhanced oil recovery techniques, at a time during which the Greek hydrocarbon sector is set to play a significant role in the attempt to lead Greece's economy back to growth again, after a 7-year period of recession.”

Energean recently announced that according to the Competent Persons Report ('CPR'), completed by independent consultant ERC Equipose LTD, the recoverable oil reserves (2P) of its assets in the Gulf of Kavala exceed 30 million bbls, while 2C resources stand at 27 million barrels.

Lidl Opens Its Largest Logistics Complex in Europe
Lidl Hellas officially inaugurated on June 28, at Sindos, Thessaloniki (northern Greece) a 200,000 sq.m. logistics complex—including a 60,000 sq.m. storage facility—the largest of its kind for the company in Europe. The inauguration marks the completion of a 130 million Euro investment programme by Lidl Hellas in Greece within a year.

The new Sindos facilities, which incorporate modern technologies, have already begun operations, housing the central services of Lidl Hellas and employing more than 400 workers. The inauguration of the Sindos logistics complex is the most recent of a series of such facilities at Thiva, Patras, Trikala and Athens. It will be replacing the logistics complex of Lidl at Gefyra, Thessaloniki.