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Piraeus Bank: Strong demand in HFSF’s stake sale

Nikos Libertas / SOOC

Initial price range set at 3.7-4.0 euros

The sale of a 27% stake in Piraeus Bank by the Hellenic Financial Stability Fund (HFSH) was met with strong demand on Monday and has already been oversubscribed.

More specifically, demand for 22% of Piraeus Bank was very strong and the offering was oversubscribed in a few minutes after the books opened so another 5% was offered to investors.

Analysts see that it may be oversubscribed by eight times until 16.00.

Piraeus Bank has a market capitalization of 4.9 billion euros. Its shares were up 3.26% on Monday at 4.1 euros while turnover reached 2 million euros in 40 minutes.

BofA Securities, Goldman Sachs Bank and UBS are acting as joint coordinators for the offering of Piraeus stake.

Following this move, Greece’s bank bailout fund completes the privatization of another bank, after Eurobank and Alpha Bank, while the remaining 18% in the National Bank will be sold in the next period.

Initial price range set at 3.7-4.0 euros

The book building process opened on Monday with the initial price range set at 3.7-4.0 euros. The sale will be concluded by March 6.