Piraeus Bank today announced that it has successfully issued a Lower Tier 2 subordinated bond in the amount of € 400 million off its existing EMTN Programme. The bond has a maturity of ten years and is callable by the issuer after five years. It carries a coupon of 3-month Euribor + 60 basis points.
The bond was received with great interest by the international investment community and the total orderbook approached € 1,0 bio after less than 24 hours of bookbuilding (2,5x oversubscribed). The final allocation was made to more than 80 investors with 75% of the total amount going outside Greece. Bookbuilding was preceeded by a roadshow in the major financial centers of Europe.
This issue further broadens Piraeus Bank's capital base, lengthens the maturity profile of the Bank's debt and, in conjunction with the 3-year Senior FRN, builds a benchmark curve in the international markets.
Joint Bookrunners on the transaction were Banc of America Securities Limited, Credit Suisse First Boston and Morgan Stanley.