Piraeus Bank is launching a senior bond, amounting to 500 million euros (6NC5). Specifically, the bank has engaged BNP Paribas, BofA Securities, Deutsche Bank, Goldman Sachs Bank Europe SE, Morgan Stanley, and UBS to carry out the issuance.

The capital raised is expected to be utilized to strengthen the minimum capital requirements and eligible liabilities, MREL (Minimum Required Eligible Liabilities). It should be noted that Piraeus has already achieved its target for January 1, 2024, with an MREL of 21.8%, including a more recent issuance in July where it raised 500 million euros through a senior preferred bond.

With this new move, the bank enhances its position regarding the 2025 requirements, taking advantage of the favorable environment created by the strong performance of the Greek government bonds (yielding 3.797% today, down from approximately 4.6% at the beginning of the year).

In a similar context, last week, Eurobank raised 500 million euros, receiving offers totaling 1.6 million euros.

It is noteworthy that according to the announcements made by the bank's management during the presentation of the nine-month financial results, Piraeus prioritizes the issuance of a Tier 2 bond in the first half of the year with the aim of refinancing bonds expiring in June.