ATHENS WATER SUPPLY & SEWAGE Co.

Ratification of the agreement with the Greek State

                                                                                                                Athens, December 3rd 2021

 

EYDAP proceeds to the ratification of the agreement with the Greek State by convening an extraordinary General Meeting of Shareholders



EYDAP Board of Directors, at its meeting on Wednesday, December 1st, decided to convene an Extraordinary General Shareholders Meeting regarding the contract signature with the Greek State which sets out the terms of renewal of the exclusive right of the Company to provide water and sewerage services that was granted to EYDAP S.A. till 31.12.2040 and for the contract signature for the operation and maintenance services of the External Water Supply System (EWSS) for three (3) years.

 

With the ratification of the agreement between EYDAP S.A.  and the Greek State, which follows the recent issuance of the relevant law 4812/2021, the reasonable transaction price is determined in relation to the raw water supplied by the EYDAP Fixed Assets LEPL to EYDAP during the period 12/10/2013 - 31/12/2020 as well as the sale price of raw water from the Greek State to EYDAP for the next 20 years - lower by 40% compared to the price paid by EYDAP from 2004 to 2013. The determination of raw water price for the next 20 years, now provides a stable pricing environment for the Company's consumers, but also a clear picture for investors who want to support the Company in its demanding investment plan and its transformation. The fact that EYDAP S.A. can recover the amount payable of € 157.2 mn. concerning the period 2013-2020 within the period of validity of the contract of article 114 of Law 4812/2021, contributes further  to the positive evaluation of Company's development.

 

Following the signing of the two contracts, a long-standing pending issue is finalised, a fact that now allows a long-term visibility for the Company and gives the opportunity to implement its demanding strategic plan, for the benefit of all parties involved. This, essentially, means the capacity  of rationalizing the operating costs, accelerating the implementation of the investment program, improving of the services provided, expanding the activities and the customer base, participating  in PPPs and a comprehensive positive  future course for EYDAP.