As part of its efforts to distance itself from the nation’s lenders, Greece on Monday revealed plans to sell a 20% share in the National Bank of Greece (NBG) and completed the sale of a 9% holding in Alpha Bank to UniCredit.
The Hellenic Financial Stability Fund (HFSF) announced in a statement that the shares of NBG, which is the second-largest bank in Greece based on market value, will be sold through a private placement and an initial public offering (IPO) between November 14 and 16 at a price per share of between 5 and 5.44 euros.
Cell Phones 100In exchange for providing over 50 billion euros to recapitalize the largest lenders in Greece during the financial crisis, the HFSF, a state-controlled bank rescue fund, obtained ownership holdings in these companies. Presently, it owns a 27% share in Piraeus Bank, the third-biggest lender in Greece, and 40.4% of NBG.
At 1012 GMT on Monday, NBG’s shares were down almost 1% at 5.39 euros, and the 20% stake was worth roughly $1.07 billion.
“Funds will receive 17% of the 20% ownership, while retail investors would receive 3%. A process official told reporters that HFSF may raise the share to be offered to 22% if there is significant demand.
Earlier on Monday, HFSF announced that, in response to an improved offer from the Italian bank, it had sold UniCredit its 9% share in Alpha Bank for 293.5 million euros.
Greece’s economy has been growing significantly since the crisis, which led S&P Global to upgrade the nation to investment grade in October.
