Leon Cooperman Explains The Real Motive Behind Germany Not Wanting Greece To Leave The EU

With the situation in Greece worsening by the hour, many experts are predicting that the country leaving the European Union is a sure thing now. However, renowned value investor and founder of hedge fund Omega Advisors, Leon Cooperman, thinks there is a significant chance that that won't happen and that's because Germany doesn't want it to happen.

Cooperman was on Bloomberg TV recently to discuss the Greece debt crisis.

Germany Loses Its Trade Advantage

On what are the chances of Greece making an exit from the European Union, Cooperman said, "The general feeling is less than 50 percent. Well, it's very complex, but Germany does not want them to leave the Euro. Merkel (Angela Merkel, Chancellor of Germany) was quoted this morning saying if the Euro fails , Europe fails' , okay? Now Germany has been a major beneficiary of Greeks being in the Euro because it kept Euro artificially depressed which gives Germany a major trade advantage."

He continued, "So, if the Euro blows apart and the Dutch market starts trading again, Germany becomes priced at the marketplace as a major exporter, so it's a big issue. Let's say something greater than 50 percent, they are calling for this referendum. The general feeling is [that] the man and the lady, the people in the Street in Greece want to stay in the EU, so they vote in favor of staying in the EU."

Everybody Lives Happily Ever After

"Then Tsipras () [or whatever] he is out, then they'll have to call a new government. The IMF will say, 'well, because the Greek people voted to stay in the EU, we are going to extend our offer to you' and everybody lives happily ever after. Just keep in mind, I think, in the last 150 years Greece has been in either restructuring or in default I am told 92 out of 150 years," Cooperman concluded.