Seeking Alpha

Greece is back; NBG plans bond offering to go along with stock sale

  • "There is vivid interest already from both hedge funds and institutional investors," says Petros Christodoulou, deputy CEO of National Bank of Greece (NBG +4.4%). The €750M senior unsecured bond will be the first such issue by the bank in nearly 5 years, and it's expected to have a 5-year maturity and be priced to yield around 4.5% (the government just sold 5-year paper last week at 4.95%).
  • The bond sale comes alongside an expected €2.5B equity offering aimed at filling the large capital hole in the bank.
  • The moves comes as Piraeus Bank - the largest Greek lender - last month raised €500M in debt, followed by a €1.75B equity sale. Third-ranked lender Alpha Bank has also raised €1.2B in capital and #4 Eurobank has an investor group ready to anchor a €2.9B stock sale later in April.
  • Greek ETF: GREK
Comments (4)
  • DeepValueLover
    , contributor
    Comments (8690) | Send Message
    Global deflation will keep Greek yields low.
    17 Apr, 01:26 PM Reply Like
    , contributor
    Comments (1977) | Send Message
    only i say when Greece is back; that is when NBG = 7.50 in jan 2015 and not before......fat chance right?
    17 Apr, 03:58 PM Reply Like
  • ErnestJack
    , contributor
    Comments (8) | Send Message
    Yes fat chance by Jan 2015. This equity offering killed any chance.
    21 Apr, 05:00 PM Reply Like
  • JoseV
    , contributor
    Comments (405) | Send Message
    7.50 by Jan 2015 is very doubtful but not impossible, however by mid 2015 is a sure thing!
    23 Apr, 05:04 PM Reply Like
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