Greece's National Bank attracts strong demand in 20% stake sale
"Demand covered 6.2 times the shares offered," the source involved in the process said on condition of anonymity.
After injecting about 50 billion euros ($54.37 billion) to prop up Greece's four largest lenders in return for shares during the country's decade-long debt crisis which ended in 2018, state-controlled bank bailout fund HFSF started divesting its stakes last month.
Eurobank (EURBr.AT) was the first to end the state's participation in its share capital in October, weeks before S&P Global became the first among the “big three” rating agencies to upgrade Greece to investment-grade status, which it lost in 2010.
On Monday, HFSF concluded the sale of a 9% stake in Alpha Bank to UniCredit and announced plans to sell a 20% stake in NBG.
The shares in NBG, Greece's second-largest bank by market value, are being sold via a public offering and a private placement from Nov. 14-16 at between 5 and 5.44 euros per share.
The value of the 20% stake is estimated at about 1 billion euros ($1.09 billion).
HFSF currently holds a 40.4% stake in NBG and a 27% holding in Piraeus Bank, (BOPr.AT), Greece's third-largest lender. It has said it would aim to dispose of all its holdings in Greek banks before the end of 2025.
A source told Reuters on Monday that out of the 20% stake in NBG, 17% would be offered to funds and 3% to retail investors. If there was strong demand, HFSF would consider increasing the stake on offer to 22%.
JP Morgan, Goldman Sachs, Morgan Stanley and UBS have been appointed as global coordinators of the sale.
($1 = 0.9196 euros)
