Greece's National Bank offers to buy back ADS preference shares
ATHENS May 31 (Reuters) - National Bank of Greece (NBG) , the country's largest lender, has launched an offer to buy back its U.S.-listed ADS preference shares for a total of $281 million, it said on Friday.
The bank is offering to buy back up to 22.5 million American Depository Shares out of the 25 million outstanding for $12.50 each, at a 50 percent discount to their nominal value, an official at the bank said.
Each ADS corresponds to one preferred NBG share. The buyback will boost the bank's Core Tier 1 capital by 175 million euros ($228 million) if all of the securities are tendered, the official said.
The offer expires on June 28, with settlement expected on July 3.
NBG has not paid a dividend on its preferred shares since March 2011 and will not pay one for its 2012 fiscal year.
Bank of America Merril Lynch will be the deal manager, NBG said. ($1=0.7660 euros) (Reporting by George Georgiopoulos; Editing by Greg Mahlich)