Paulson buys Greece (Klarman too)

|By:, SA News Editor

Funds run by John Paulson have joined those of Baupost, Eaglevale, Falcon Edge, York Capital, and Och-Ziff in investing in the recapitalized Greek banking sector, reports the FT.

"We think Piraeus (BPIRY.PK) and Alpha (ALBKY.PK +12.9%), two banks we have a position in, are now very well capitalized and poised to recover," says Paulson in a statement. Encouraged by rising exports and a rebounding tourist sector, Paulson expects the economy to bottom this year and begin recovery in 2014.

Also among those recapitalized by the Hellenic Financial Stability Fund is National Bank of Greece (NBG +12.9%). The Greek ETF (GREK +3.3%).