Bernitsas Law acted as Greek law counsel to Piraeus Financial Holdings (PFH) in connection with (i) a liability management exercise consisted of an invitation made to holders of its outstanding €500m Fixed Rate Reset Tier 2 Notes due February 2030 to tender their Notes for purchase by PFH for cash (Tender Offer), and (ii) the issuance and offering to international and domestic institutional investors through a bookbuilding process of €650m Tier 2 Fixed Rate Reset Notes due September 2035 (New Notes), and the listing of the New Notes on the Euro MTF market of the Luxembourg Stock Exchange.
The transaction attracted significant interest from approximately 200 institutional investors, with 57% placed among asset managers, insurance companies and pension funds, 27% with banks and private banks, 13% with hedge funds and 3% with other investors. The total order book of the transaction exceeded €2.7bn, reflecting an oversubscription of 5.4 times compared to an initial issuance target of €500m, while more than 75% of the issue has been allocated to international institutional investors.
The funds raised through the issue of the New Notes will be used by PFF to finance the Tender Offer and further solidify its capital position.
Counsel Alexia Kefalogianni and Associate Marinos Shiapanis advised on this transaction.