Eurobank made its first market exit in 2025 with a €400 million bond issue. Specifically, it is a Tier 2 bond maturing in 10 years and callable after five years. Demand for the issue was extremely strong, with bids reportedly exceeding €1.5 billion. 

The offer book, when opened, was expected to yield in the region of 4.67%–4.72%; however, strong demand brought the interest rate down. The bond is rated Ba2 by Moody's and BB- by Fitch. Meanwhile, in a separate transaction, Eurobank offered to swap €200 million of Hellenic Bank's Tier 2 bonds for Tier 2 securities of its own issue.

EXPANSION ABROAD

Expansion abroad is high on the bank's business plan, as it already operates in Cyprus and Bulgaria in addition to Greece. It is no coincidence that most house reports rank the bank among the top picks while talking about value that has not yet been monetized. This very value is unlocked by the moves that management is making in Cyprus, but also in other regions. The bank is reportedly in the process of opening representative offices in Dubai and Mumbai, following up on moves already made in these markets. 

DEMETRA AND THE HELLENIC BANK

At the same time, Eurobank has taken another step towards the implementation of the agreement for the full acquisition of Hellenic Bank with the sale of 8.58% of Demetra Holdings to Logicom Services. It concerns 7,152,353 shares acquired by Eurobank on 8 November 2024 for a price of €27 million, equivalent to €1.55 per share.

The transaction is part of the bank's broader agreement with Demetra and Logicom, which, in addition to the above transaction, provides for the acquisition by the bank of an additional 24.66% stake in Hellenic Bank from Demetra (21.33%) and Logicom (3.33%), bringing the Greek group's stake in the Cypriot bank to 93.47%. The completion of this transaction is expected around 10 February.