Reuters logo
Greece's Eurobank says will fully cover capital shortfall from private investors
November 3, 2015 / 3:33 PM / 2 years ago

Greece's Eurobank says will fully cover capital shortfall from private investors

ATHENS, Nov 3 (Reuters) - Greece’s third largest lender Eurobank said on Tuesday it planned to fully cover a capital shortfall shown in ECB’s stress tests adverse scenario from private investors.

The ECB’s health check showed that Eurobank has a capital shortfall of 2.12 billion euros under the adverse scenario of the stress test, the lowest among the country’s four lenders.

“The bank’s objective is to cover the full amount of this capital increase by equity investors and LME (bond buyback) so that it receives zero state aid avoiding the overhang of CoCos remaining the most private bank in Greece with an even lower HFSF shareholding participation,” its Chief Executive Officer Fokion Karavias told an analysts teleconference on Tuesday.

Greece has said that state aid to Greek banks will be provided via a combination of new shares and contingent convertible bonds (CoCos) that banks will issue. (Reporting by Lefteris Papadimas, Writing by Angeliki Koutantou)

Our Standards:The Thomson Reuters Trust Principles.
0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below