Eurobank and National eager to tap markets

Eurobank and National are rushing to make the most of the favorable climate for Greece in global markets, as the former is beginning the process of its share capital increase this week and the latter is expected to open the book for its new five-year bond on Tuesday.

Eurobank announced on Friday that its offering for the 2.86-billion-euro increase will take place from April 25 to 29. Last week major shareholder Hellenic Financial Stability Fund (HFSF) picked a group led by Canada’s Fairfax as anchor investors in the bank’s offering, while about 10 percent of the new shares will be offered to Greek investors.

National Bank will on Tuesday start building the book for its bond issue, through which its aims to draw 750 million euros. The process ends on Thursday and National hopes to obtain an interest rate that will be up to 50 basis points below the 4.95 percent rate that the Greek sovereign bond got earlier this month. Merrill Lynch, Citi, Goldman Sachs and HSBC have undertaken the issue.

Last week National saw its plans for a share capital increase of 2.5 billion euros approved by the HFSF.