ECONOMY

Attica granted extension till end-January

attica-granted-extension-till-end-january

Attica Bank has had its deadline for the drawing of 748 million euros needed for its capital strengthening extended up until the end of January 2016.

The bank announced that it has covered the 584 million euros that the baseline scenario of its stress test required, but given that the participation of bank bailout fund HFSF has been ruled out of the coverage of the remaining funds needed to meet the adverse scenario, the rest (164 million euros) will also have to be covered by private funds.

Sources say that Attica’s management is locked in negotiations with a US fund that has already sent a letter to the Bank of Greece regarding the talks and will confirm its participation once the due diligence process is completed.

Iraklio-based cooperative bank Pankritia has also been granted an informal extension as it tries to find 130 million euros. A US fund has also expressed an interest in the Greek bank, but up until Monday it had not tabled an offer.