Clavenia Ltd, a Cyprus-based company, has injected €19.4 million into Larissa Thermoelectric S.A., a firm aiming to build a 792 MW natural gas-fired power plant in the industrial zone of Larissa, central Greece. The investment comes amid questions about the actual necessity of the project, especially in a country where energy security is not under immediate threat and renewable energy sources have been expanding rapidly.
The capital increase, which involved the issuance of 1,941,220 new shares with a nominal value of €10 each, raised Larissa Thermoelectric’s share capital from just €100,000 to €19.51 million. The financing was structured through a mix of new capital and the conversion of debts into equity—loans previously granted by Clavenia to the company. A separate filing in Greece’s General Commercial Registry confirmed a €7.5 million capital increase through debt capitalization, which included three specific obligations: a €4 million loan (with total outstanding interest bringing it to €4.23 million), a second loan of €553,024 (valued at €511,628), and an overdue payment of €2.67 million. All valuations were carried out using the discounted cash flow method by auditing firm TMS.
These converted debts now represent 38.5 percent of the company’s post-increase capital and match Clavenia’s expected stake, based on a shareholder agreement signed on May 21 with DEPA Commercial (Greece’s state gas supplier), the investment fund EUSIF Larissa, and the private energy provider Volton.
What remains unclear is whether the remaining €12 million of the €19.4 million capital increase corresponds to the equity participation of these three partners. Should this be the case, estimates suggest DEPA Commercial would contribute roughly €6.8 million, EUSIF Larissa €3.21 million, and Volton €1.95 million. However, no official confirmation has yet been made public.
While the financing framework may appear sound, the rationale for the project itself is more contentious.
Moreover, the project began as a private initiative driven by entrepreneur Vasilis Milionis and his associates, prompting valid concerns about its strategic redundancy, environmental footprint, and whether it aligns with Greece’s long-term decarbonization goals.
Greece’s current energy needs are well-covered, with a growing share of electricity already being supplied by renewable sources like wind and solar. The national grid has not faced shortages that would justify the urgency—or even the relevance—of such a large-scale fossil-fuel investment.
