Submitted by Tyler Durden: The erstwhile 'developed' market of the Athens
Stock Exchange has just suffered a major blow. Coca-Cola Hellenic
Bottling Co (CCHBC), the world's second largest Coca-Cola bottler, will
quit the exchange for London next year, cutting the value of equities listed in Athens to a mere $31bn - smaller than Vietnam's $35.2bn.
CCHBC is Greece's largest company by market value and sets a rather
ugly precedent in leaving the troubled nation. Accounting for 23% of the benchmark index weight, it is 50% larger than all four of Greece's major banks combined.
A new company, headquartered in Switzerland, will make a share-exchange
offer for CCHBC and seek a primary listing on the London Stock Exchange
- which will mean around 10% of all trading volume on the Athens Stock Exchange will be lost.
The decision to leave Greece was prompted by concerns over political and economic stability - so for the Greeks, Coke Is not It.
From the 3/6/09 lows, CCHBC is up 99% while the ASE is down 42%...