Greece to wrap up post-crisis bank privatisations with October stake sale

Reuters

Greece to wrap up post-crisis bank privatisations with October stake sale

2024 9월 4 일, 오전 10:32 GMT

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By Lefteris Papadimas

ATHENS, Sept 4 (Reuters) -Greece plans to conclude the re-privatisation of its banks by early October with the sale of its last stake in National Bank, two sources familiar with the matter told Reuters on Wednesday.

The planned sale marks a rebound for the Greek banking sector, which was bailed out during a debt crisis in which Greece nearly dropped out of the eurozone and international lenders imposed strict austerity measures in return for loans.

It also means an end to the bailout fund, known as HFSF, which was launched in 2010 to protect Greece's biggest banks and limit contagion across Europe's financial system.

The fund still owns 18.4% of National Bank (NBG) NBGr.AT, Greece's largest lender with a market value of 7.2 billion euros. It plans to sell 10-13% and the remainder will be transferred to Greece's sovereign wealth fund, the sources said.

"The exact stake and timing for the sale will be decided next week," one of the sources said.

HFSF began divesting its stakes last year after injecting about 50 billion euros to prop up the four largest Greek banks in return for shares during the 2009-2018 debt crisis.

The move was seen by investors as a sign of Greece's economic recovery, although many ordinary Greek's are still suffering the long-term effects of the crisis.

The fund sold its holdings in Eurobank EURBr.AT, Alpha Bank ACBr.AT, Piraeus Bank BOPr.AT and part of its stake in NBG to foreign and local investors.

A second official said that if there is strong demand then the government might sell 13% of NBG.

"The stake will be sold via a book-building process and a public offering," the second official added.

HFSF has hired JP Morgan as an adviser, both sources said.

Reporting by Lefteris Papadimas; Editing by Edward McAllister and Alexander Smith

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