Ellaktor S.A. (ELLAKTOR) Earnings Call Transcript & Summary

Ladies and gentlemen, thank you for standing by. I'm Konstantinos, your Chorus Call operator. Welcome, and thank you for joining the Ellaktor Group management conference call. [Operator Instructions] And the conference is being recorded. [Operator Instructions] For today's call, our main speakers are Mr. George Provopoulos, Chairman of Board of Directors of Ellaktor; Mr. Anastasios Kallitsantsis, CEO of Ellaktor Group; and Mr. Alexandros Exarchou, CEO of Board of Directors of AKTOR. The management panel also consists of Mr. Dimitrios Kalitsantsis, Vice Chairman of Board of Directors of Ellaktor; Mr. Manos Christeas, Group CFO of Ellaktor; Mr. Antony Hadjioannou, Deputy Group CFO for Ellaktor; and Mr. Michail Tsantilas, IR Department. At this time, I would like to turn the conference over to our speakers. Please, gentlemen, you may now proceed.

Hello. Good afternoon, ladies and gentlemen. My name, as already mentioned, is George Provopoulos. I'm the Chairman of Ellaktor's BoD. Thank you very much all of you for joining this meeting today. As you know, the purpose of this ad hoc conference call is to ensure that the investment community is sufficiently and accurately informed, given latest developments. As you know, on Thursday, March 5, Ellaktor's share price suffered an abrupt, unjustified and extreme decline following massive sales. Obviously, this decline was, to some extent, a result of the general negative trend in the international stock market due to the global impact of coronavirus. In this environment, Ellaktor's peers also suffered a significant drop in their share prices. In the case of Ellaktor, though, the drop was even higher. In our case, there was an additional factor that weighed in and led to an almost 30% decline of the group's share price in a single day. Investment community became apparently reflective of what I could call an orchestrated speculation based on a number of false claims. These claims were falsely reproduced in a coordinated manner by a segment of the media in Greece. Ellaktor, aiming to protect the interest of all stakeholders from this utterly unethical speculation, reacted swiftly. I remind you that the group issued 2 consecutive announcements, the first on Thursday, March 5, while the Athens stock market was still in session; and the second one on Friday, March 6, before the opening of the market. In this announcement, we officially denied all the rumors as totally unfounded. In parallel, we organized today's call in order to answer any questions you might still have. In this context, as already mentioned by the gentleman, the Group's CEO, Mr. Sakis Kallitsantsis; Mr. Dimitrios Kallitsantsis, Vice Chairman of Ellaktor's BoD; Mr. Alexandros Exarchou, AKTOR's CEO; as well as Ellaktor's CFO, Deputy CFO and IR Directors, namely Manos Christeas, Antony Hadjioannou and Michail Tsantilas join me today. So ladies and gentlemen, it's [ open ] that we have in front of you are the persons named explicitly in recent media reports. Also, earlier today, Ellaktor asked the Hellenic Capital Markets Commission for an investigation into the trading of 5th and 6th March 2020. Before passing the floor to executives, I would like to make some general remarks and highlight some facts that may have been overlooked or even forgotten in the course of the last 18 months. The Group's BoD was elected, as we know, with the mandate to transform Ellaktor, a 70-year-old family-run, traditional Greek construction company, with severe legacy compliance issues, with 6,000 employees and activities spread in 30 countries into a modern, efficient, fully transparent and well-managed group. Let me now briefly explain what we did so far. On the front of strengthening corporate governance, which was declared as a top priority in the context of the CHANGE4ELLAKTOR initiative, we are proud to report that in the last 18 months, first, we have undergone a thorough governance review of the group by specialized international consultants, which have adopted a specific action plan having implemented already the majority, if not, the whole of changes required. Second, we have established the Nomination and Remuneration Committee, and we have adopted a remuneration policy, which was approved by the AGM in June 2019. Third, all BoD committees consist exclusively of nonexecutive members and a minimum 2/3 independent. Finally, BoD has been extremely active with regularly scheduled meetings at least once per month. We have also been working hard in order to decisively address legacy compliance issues. These issues have adversely affected the group's reputation as well as its business prospects across various segments and geographies. In parallel, we have introduced a series of safeguards and initiatives in order to protect Ellaktor from future compliance issues, like the ones which we had in the past. In this context, we have established the Compliance and Sustainability Committee, chaired by me personally, in order to signify the importance of this particular committee's workings. We have introduced a whistleblowing and an anti-bribery policy on top of the group's code of conduct. Finally, we have launched an online whistleblowing platform that is a tool for which anyone who notices incidents or behaviors that endanger the group's integrity will be able to report it in a completely discrete and confidential way. Furthermore, we have brought considerable changes in the organization of the group itself. Let me only mention a few of them. We have appointed experienced executives, starting the completely nonexistent until September 2018 C-level of the group. As a result, Ellaktor has been demonstrating significant progress in key fields such as human resources, IT and risk, incorporating modern international practices and improving its operational performance group-wide. We have broke down intra-group silos, establishing centralized control over subsidiaries and allowing for horizontal cooperation versus the traditional vertical practice, which was the practice of the past. 2020 will be the first year in which subsidiaries will be operating under a genuine, unified group strategy as a result of specific group guidelines introduced for business planning and budgeting. I could go on for hours outlining the enormous amount of work that has already been put into Ellaktor by its management and its people over the last quarters, demonstrating how much better the group operates today in comparison to 1.5 years ago. Instead, I would just reiterate my personal commitment to Ellaktor and confirm that I stand by my recent statements, repeating once again that I have never expressed my -- any intentional decision to leave the Ellaktor Board of Directors. Now Mr. Kallitsantsis, the floor is now yours. Thank you, gentlemen.

Thank you, Mr. Chairman. Thank you, ladies and gentlemen, for taking the time to join us today. I will follow Mr. Provopoulos' leads, and I will also make a brief recap of what this management has done for Ellaktor, but from a business point of view. During the course of CHANGE4ELLAKTOR, we have presented shareholders with a very clear road map. We have shared our strategic priorities, and we have asked them to entrust us to pursue these with a positive vote during the 2018 AGM. Today, 1.5 years later, I think it is appropriate to revisit these key commitments and compare them to what has been done in relation to them. First, we promised to capitalize on a leading position for new concessions during our management. What we did? First, we increased our stakes in Attiki Odos for 6.5% to -- by 6.5% to 65.8%. Then we secured the 40 plus 10 years Alimos Marina concession. Following the signing of the contract by the end of March, we will implement an investment of a magnitude of EUR 100 million, thus expanding our portfolio of concession projects beyond motorways. And we are participating or have been prequalified to all major concession tenders underway in Greece, namely Egnatia Odos, North Road Axis in Crete, Kalamata-Rizomilos-Methoni motorway, university buildings in Crete and Salamis Submarine Link tender. Second, we promised to execute CapEx in renewables and benefit from stable and highly predictable cash flows. In this light, we are implementing an ambitious investment plan of more than EUR 200 million, increasing installed capacity from 296 megawatts as at the end of 2018 to 491 megawatts by March 21, 2020. We aim to reach the installed capacity of 580 megawatts by the end of the current year in order to further benefit from the long-dated and predictable cash flows. Third, we had promised to explore integration of legal entities to capture synergies and to optimize capital structure. And in this context, we introduced and implemented the merger by absorption of ELTECH ANEMOS by Ellaktor, which simplified group structure, and felt multiple operational, financial and tax synergies, strengthened capital structure and enhanced cash flows. Fourth, we have also promised that we will explore and pursue alternative funding sources, mentioning, as an example, bond capital markets. And in line with this, we secured EUR 670 million during the last 3 months through the successful issuance of truly international bonds, thus diversifying Ellaktor's sources of funding. Fifth, we promised to explore monetization of noncore assets, and hence, we proceeded with the sale of the group Athens headquarters, the sale of Ellaktor shares in Elpedison and other noncore assets like the Eldorado shares. Sixth, but not least, of course, our biggest talent and major goal that still remains in pursuit, turning around construction. Within the course of CHANGE4ELLAKTOR, we have placed AKTOR's return to profitability in the long-term goals, that means well after the first 18 months of the new management changes. On the contrary, we have placed a series of reforms in the medium-term priorities of the relevant action plan. Relevant initiatives included improvement of processes, priority of profitability over backlog replenishment, focus on domestic markets with highly selective foreign activities. I will let Mr. Alexandros Exarchou to provide you with details on how we have progressed against this commitment as well as what other steps we're taking to reinforce our efforts. But what I would like to stress, though, is that AKTOR has come a very long way since September 2018. And in order to objectively assess the work that has been done, it is interesting to put some things in perspective. More specifically, 18 months ago, first, 9 construction projects in Romania, Serbia and Albania of a total worth exceeding EUR 700 million were almost completely abandoned with contracting authorities threatening to liquidate the respective letters of guarantee. Second, AKTOR's management in the Balkans had lost all credibility and communication with clients was almost nonexistent. Third, international presence was scattered with no geographical strategy and market intelligence. And fourth, AKTOR was bound by a series of photovoltaic contracts abroad that lacked financial and business sense and were extremely risky. On top of this very urgent and trivial situation in October 2018 came a decision of the European court in relation to a German competition case, the specific ruling all the interpretation of similar cases in the European Union triggering a domino effect a series of tenders underway in Greece and abroad. More specifically, the European Court declared that if a company has reached a settlement with the respective competition authority of its country of origin, then the offense is considered to have been committed at the time of the settlement was reached and also at the time it was originally committed. As a result, construction companies in Greece, which were asked while participating in tenders whether they have been implicated in competition offenses over the last 3 years, suddenly found themselves accused of having made forced statements given that the starting point of the 3-year period was now different than originally thought. As a result, AKTOR, which in August 2017, along with all other major Greek construction companies, had reached a settlement with the Hellenic Competition Committee, was suddenly forced to be deprived of projects it had secured worldwide of a total worth of EUR 450 million. Additionally, other major tenders, such as they won of Athens Metro Line 4, with a budget of EUR 1.8 billion, were stuck for almost a year due to judicial implications deriving from the aforementioned decision of the European Court. This development, along with 2019 being an elections year in Greece, led to a complete standstill in construction centers, depriving all local construction companies of revenues. Taking all this into consideration and combining, first, the financial situation of AKTOR after almost a decade of violent distraction from operating activities that exceeded EUR 500 million. Second, the extreme financial risks undertaken by the previous management in construction projects in the Balkans and in photovoltaic projects in Australia and Latin America as well as the unexpected development from the European Court that left AKTOR deprived of EUR 450 million of projects secured and with no new standards in 2019 in Greece. The fact that AKTOR managed to overcome this is a testament to the resilience of its management and the dedication of its people. I would also like to make one final remark. Although we have managed to accomplish a lot in a very short time and despite the aforementioned adversities, we recognized that we have fallen short of our initial expectations. We truly believe that we could achieve breakeven in construction around this time, but we did not fully appreciate the toll that unexpected and out of [indiscernible] control development could have on our plans. Nevertheless, we remain committed to this target, and we will continue to work relentlessly until we achieve it. I would now like Mr. Alexandros Exarchou, CEO of AKTOR, to provide you with further details about the work that is being done in our construction segment and further steps we are taking to accelerate our progress.

Thank you, Sakis. Now Alex, you have the floor.

Good afternoon, ladies and gentlemen. Mr. Kallitsantsis has offered a very condensed and accurate description of our demanding business reality over the last 18 months. I will start from the situation in the Balkans, as this was the most challenging, urgent problem the new management in AKTOR faced upon its appointment. Clients who have lost all faith in our local management refused to have any more dealings with our top executives on the ground. Contracting authority is threatening to replace us from the projects. Unpaid subcontractors are abandoning construction sites, and of course, the risk of funds of millions of new losses as a result of all this. Our reaction was rapid. We removed, not only from the respective countries, but from AKTOR, in general, almost all executives that have contributed to this unacceptable for AKTOR's reputation situation. Subsequently, we have reestablished communication with contracting authorities, clients and subcontractors. We declared our commitment to complete all projects regardless of how far behind they were left and managed to deliver upon these promises, concluding 1 project in Albania, 4 in Serbia and 3 in Romania, while at the same time completing one of the biggest projects in Middle East, the Doha Metro. Established in Romania, we managed to -- especially in Romania, we managed to restore faith in the company, leading to reorganization of the contract...

Renegotiation.

Renegotiation of the contract and extension of its completion deadline and an improved impact on the P&L. Furthermore, we participated in a series of tenders in Romania, securing as members or leaders of joint ventures, 2 sizable projects. Acknowledging that given AKTOR's track records abroad, analysts and investors tend to treat news of our new contracts more as a risk rather than as a blessing. I would like to explain to you in more detail that we have been doing over the last 1.5 years with regard to backlog replenishment inventory. First of all, we follow what CHANGE4ELLAKTOR has promised to shareholders. As we focus more on the domestic market, we are extremely cautious with our international presence. This is becoming more and more evident as we are focusing on countries where we already have established presence, and we have upgraded ourselves in the local market to the degree that risk is sufficiently manageable. In this light, our international presence will gradually become more and more contained and eventually will be limited to countries such as Greece and Romania. We do not pursue backlog and revenues at any cost. We have said that we consider revenues of EUR 1 billion as a relatively safe zone for AKTOR, and we approach this target with moderation regarding the projects we are tendering, and more importantly, the bids we are submitting. We have completely restructured the tendering department and placed a series of safeguards in order to carefully screen the projects we consider worth considering and the bids we are willing to offer. Regardless of how emblematic or big a project may be, we are not prepared to risk operating at loss in order to secure it, and hence, we are also prepared to lease or even not bid for projects that we do not feel financially comfortable with. We have not only changed the way we operate internally, introducing new project controls, including an upgrade of the procurement department, strengthening of commercial department and improving planning. At the same time, we will have reducing headcount in order to match revenue levels of EUR 1 billion versus EUR 1.5 billion previously, and we are making targeted redundancies. Secondly, now we have dealt with most of the urgent, the unexpected and inevitable challenges that we inherited 18 months ago. We are proceeding with the next set of commitments made by CHANGE4ELLAKTOR and the new management. Shareholders were promised that AKTOR will, in long term, transform into a modern construction company. Restructured operation will be similar to international sector standards. In this light, AKTOR has hired Alvarez & Marsal, in order to support management with organizational and operational changes required in order to considerably improve the company's overall performance. Ladies and gentlemen, AKTOR is undergoing a massive transformation. And even we, as management, have to remind ourselves from time to time that deep structural reforms do not happen overnight. I'm personally encouraged by the result of Ellaktor's -- by the trust of Ellaktor's management and the incredible dedication of AKTOR's people, and I remain committed to the good fight.

Thank you, Alex. Ladies and gentlemen, Mr. Sakis Kallitsantsis would like to add just a very few short remarks. Sakis, you have the floor.

Ladies and gentlemen, shareholders, Board members, analysts and members of the press, throughout these 18 months, we have been nothing but honest and transparent regarding our endeavors, the projects we are making, the obstacles we are facing. In every single communication we had with you, we have been telling you what we knew to be completely true at that time, and we will continue to do so. Our announcement on March 6, 2020, as well as our present and future dates has proven that all rumors regarding Ellaktor's and AKTOR's management, Ellaktor's major shareholders, and speculations regarding our construction business were merely fake news. What Ellaktor is trying to achieve is considered as a major disruption in the sector in Greece. And naturally, there are forces actively opposing this change in the largest player in the market. In this light, I urge you to be very vigilant and skeptical regarding rumors and unverified information being circulated from time to time regarding Ellaktor. In addition to everything we did about construction, I make the clear statement that the group is steadfastly pursuing its communicated strategy based on the 3 growth pillars, namely concessions, renewables and waste treatment. Now I invite you to proceed with any questions you may have, please.

Okay. The floor is open to anybody who would like to put questions. Please go ahead.

[Operator Instructions] The first question comes from the line of Karanikas, Vangelis with Euroxx Securities.

I have 3 questions, if I may, 2 on construction and 1 general. So starting first on the construction profitability, which based on latest interims is headed for yet another full year. So if you -- can you provide us a more detailed outlook on construction? And when would you expect this weakness to end? So this is question number one.

Can you now put -- yes, the other 2, please?

Yes. The second, again, on construction, regarding this time AKTOR's cash needs and negative cash flows in the construction. And the question is, how do you plan to address those? And the third question is a general one. Since this call is for informing investors on several rumors, there was another rumor making the rounds recently regarding need -- potential need for a share capital increase. I think it would be very interesting and useful to have your official view on this.

Thank you, Mr. Karanikas. The first question goes to Sakis Kallitsantsis, and the rest of your questions will be answered by Mr. Manos Christeas, the CFO of Ellaktor. Please, Sakis.

Well, we believe we have made significant progress since we took over the management of the group back in the third quarter 2018. Amongst others, we have some projects on the verge of termination in Albania, Serbia and Romania as were presented in our opening remarks, and have implemented a number of organizational improvement initiatives. However, we must admit that turnaround stories often involve more challenges and sometimes take longer than initially anticipated. In this sense, yes, we expect a more challenging fourth quarter 2019 in construction. Mainly, issues to international operations and discussions. We are currently gathering the reporting facts of all the entities consolidated in the Ellaktor Group and expect to be reporting the full year results in April 2019. As we announced that our internal process needs further strengthening in order to effectively monitor further execution, especially in international markets. We have decided to first focus our efforts on bridging Romania, which we believe is a familiar territory, which means that both EU countries with similar mentality and significant infrastructure spending requirements. And also secondly appointed Alvarez & Marsal to support the management team in the effort to enhance project monitoring and revenue from both to avoid similar -- from this happening in the future.

Thank you, Sakis. Now Manos is to answer about the cash needs of AKTOR and the share capital -- and eventual capital increase.

Regarding AKTOR, we have implemented a multipronged strategy to comprehensively address cash requirements while, at the same time, we're working tirelessly to return the company to cash-neutral position. To this end, part of the usual proceeds of the hybrid bond offering was to refinance EUR 86 million of construction loans. In addition, we are having the same discussions with banks regarding a revolving credit facility for AKTOR. Finally, we are in close contact with our suppliers and subcontractors to ensure the most efficient and smooth working capital situation. Now regarding the share capital increase that was mentioned, we have to mention that we have sufficient financing in place for identifying financial needs. For example, CapEx programs regarding Alimos Marina.

The next question is from the line of [ Damascus Panayotis ], he's a private investor.

Just a few questions primarily regarding construction again. So there are some, again, rumors about some letter of guarantees that you have -- there are some issues getting those, and additionally, the losses on the construction segment. The question I would like to ask you is, do you have -- can you comment on these rumors about the letter of guarantees? And second, do you have any visibility on the breakeven for construction and what will be the funding requirements? And as well, do you think there have been any issues repaying the bond?

Thank you. Manos?

Regarding the guarantees, I don't know what kind of rumors you mentioned. The situation is that the company is in a position to get the bank guarantees, and we have no issue with guarantees of the -- provided to our customers. So regarding the guarantees, it works as it should be. Regarding -- the second was...

The visibility on breakeven.

The visibility on breakeven. I cannot comment on the exact model that will lead this. What I say is that all the projects that they were very -- let's say, with legacy officials are very close to the end. We believe that within the next month, all the projects that have -- created the issues in the past will be delivered and, therefore, will have left behind us the risks.

[Operator Instructions] The next question is from the line of David, Vladimir with Muzinich.

I'm a credit investor from Muzinich. I just wanted to ask in terms of the restricted group that you defined for the recent green bond issuance, how much capital is it possible for you to upstream from the restricted group to the construction subsidiary to support it if need be?

Thank you. Manos, again?

There are defined baskets in the notes. Practically, there is the 50% of the net income of the restricted group that will go out of the restricted area plus a basket of EUR 40 million for general purposes. These are the 2 main baskets that can be utilized.

And is there an intention to use these baskets?

If needed, yes.

The next question is from the line of Ahmet Hakan Özman with GAMA Holdings.

I don't know who mentioned it before about these problematic projects that are about to conclude within the next couple of months. Can you give a little bit more light on this -- what is the amount of this projects and when they will be concluded?

Can I give the floor to Alex, CEO of AKTOR?

The problematic projects are mainly in Australia. There are 4 projects. Three of them are already completed. The fourth one will be completed within the next one month. I'm not sure what you're referring to. Of course, all of them are photovoltaic projects in Australia. What remains to be performed in terms of construction work is a very small amount, something like EUR 20 million.

How much, sorry?

EUR 20 million remaining works.

EUR 20 million?

Yes.

The next question is from the line of [ Lazar Dequiyo ] with Marathon. Mr. [ Lazar ], can you hear us?

Yes, I can. Can you comment on working capital for the full year 2019, should we see an inflow in Q4?

No. No.

Mr. [ Lazar ], have you finished with your questions?

Yes, I have.

[Operator Instructions] We have a follow-up question from the line of Karanikas, Vangelis with Euroxx Securities.

Yes. Just a follow-up on Australia, please. If you could clarify whether you expect further losses in Australia in -- either in the fourth quarter or in the first semester of this year and elsewhere that perhaps you would like to disclose?

Thank you. Alex Exarchou has the floor.

Well, results in Australia for 2019 are in progress. We are currently not in a position to announce formal figures. However, the company expects negative contribution by Australia for 2019. We expect last of the 3 projects to be successfully completed in the second quarter of 2020, as I said earlier.

The next question is from the line of [ Janas, Demetrius ] with CYCLOS Securities.

This is [ Demetrius Janas ] from CYCLOS Securities. Please give us some more details concerning the transactions of the 5th and 6th of March, you mentioned earlier, and specifically, on the profile of these -- of the investors that committed these sales, whether they were institutionals or private investors?

There is no clear profile of the people that were invested in this transaction. It was a mix of major players and retailers both. So there's no clear pattern on this.

But that's the reason we asked the capital markets committee to investigate. At this very moment, we don't know who were [indiscernible]. We don't have yet the first deal registry. So we cannot know unless we get further information from capital markets. We'll know in a couple of days. Our impression is that this mix may be mainly retailers, but we don't know yet.

We have a follow-up question from the line of [ Lazar Dequiyo ] with Marathon.

So this is my question on working capital. If I understood correctly, you will not have a working capital inflow at all in Q4 given the substantial amount of outflows you've had in the first 9 months of last year. Can you just comment on why working capital is not coming back? And then can you also comment on the working capital for 2020?

Manos?

Practically, the reason that the inflow doesn't come back is because we have challenging results. This could be mostly due to [indiscernible] finalize the financial statements. For the 2020, we don't have any projection for the time being.

Okay. And final one, do you have any further disposals of noncore assets? Or is that all done now?

The majority are done, there are some still...

Yes, there are some noncore assets like [indiscernible] infrastructures and some real estate assets of AKTOR mainly in Romania and in Bulgaria [indiscernible], and we are cooperating with real estate agents in both countries to monetize them.

The next question is from the line of Politis, Georgios with Euroxx Securities.

Yes. I have a couple of questions. The first one concerns with bond issue of recent, the EUR 670 million. Why did you guys raise such a bond, which was a lot more expensive than your peers? My second one has to do with the resignation of the independent board member, Mr. Aivazis. Why did he resign? And who will be replacing him? And last but not least, we hear in the market that the Kalitsantsis brothers are at odds with each other and can't find common ground as far as the management of the company is concerned, which is bringing the group to a standstill. Can you please comment on this?

Well, since -- as you said the last but not the least, I will start from the last. All these rumors are not valid. Dimitrios is present here with us, and he endorses what we do, and he would say just a few words to convince you about that.

So I'm Dimitrios Kalitsantsis. I am strongly endorsing what Sakis said just a minute before. So here, we are all united and strongly operating to reach the goals of the company. So any time you can contact me for more details.

As far as Mr. Aivazis is concerned, I can say a few words. In the resignation letter which he sent me, he cites personal reasons for his resignation. So nothing else could be said on that. Mr. Aivazis will be replaced by Mr. Ioannis...

Has been replaced.

Has been replaced? Mr. Ioannis Pehlivanidis will replace him. Perhaps most of you know Mr. Pehlivanidis. He is a highly qualified person in the financial sector so far. In the past, I don't remember which period, he worked as a Deputy CEO in the National Bank of Greece. There was a question about the bond. Manos?

Just in terms of bonds, the primary objective was to diversify source of funding and gain access to the Russian debt capital markets, which are due to [indiscernible] projects. Also being the first time this year moving from fully secured to unsecured debt, it was expected to increase our cost of debt as for the completion of the bond offering ourselves.

The next question is from the line of [ Hava Lisi ] with Alpha Asset Management.

I have 2 questions. The first one, regarding the Marina of Alimos. Is finances secured at this moment? And the second one is related to the size of equity. Are there any covenants on the loans that you have regarding the size of equity? And if yes -- in case of -- yes, what is the safety margin?

Well, what your second question was?

Covenants on the bond.

The covenants on the bonds.

Just to remind you that in the tap of the bond, a part of the use has to do with financing the Marina of Alimos. So this has been already taken into consideration. On top of this, we are in the very last stages of signing the financial close of the funding of the Marina. So the total is secured, let's say.

[Operator Instructions] Ladies and gentlemen, there are no more further questions at this time. I will now turn the conference over to management for any closing comments. Thank you.

Well, ladies and gentlemen, thank you very much for attending today's conference call. I believe that we provided you with the answers you were asking for. So thanks a lot.

Thank you for your massive participation. It was really amazing. Good night. Good evening. Bye-bye.

Ladies and gentlemen, the conference has now concluded, and you may disconnect your telephone. Thank you for calling, and have a pleasant evening.