News of Alpha Bank rights issue pleases investors

Shares in Alpha Bank outperformed on the Athens bourse yesterday, rising by nearly 3 percent, after two large brokerages upped their price targets on the stock on news of its rights issue. Alpha Bank shares rose 2.99 percent to 14.12 euros, pushing its market capitalization to 5.8 billion euros. The broader market advanced 0.98 percent. Press reports said yesterday Credit Suisse upped its price target on Alpha Bank to 14.7 euros, from 12 euros previously, with an outperform rating on the share. UBS also raised its price target on the Greek lender to 15.50 euros, from 13 euros, on which it has a buy rating. On Monday, the lender approved plans to raise as much as 986 million euros in a sale of new shares in order to cut ties with the government and start paying dividends.