Anchor investors raise bid price for Eurobank's cash call
ATHENS, April 28
ATHENS, April 28 (Reuters) - Investors led by Canada's Fairfax agreed to raise their bid price for 47 percent of Eurobank's 2.86 billion euro ($4 billion) share offering by 1 cent, Greece's third-largest lender said on Monday.
The group of investors, which includes Fairfax, Capital Research and Management, Wilbur Ross, Fidelity, Mackenzie and Brookfield, has committed to take up 1.3 billion euros worth of Eurobank's shares at a price of 0.30 euros a share.
The improved bid indicates that the bookbuilding for Eurobank's share offering, which ends on Tuesday, has moved towards that price.
Eurobank had set a tight price range at 0.30 to 0.33 euros per share, aiming to fill the order book quickly as it seeks the funds to plug a capital shortfall.
Eurobank, which is 95 percent-owned by Greece's bank bailout fund HFSF, is the third Greek lender to tap international markets after peers Alpha Bank and Piraeus raised 2.95 billion euros between them.
A banker close to the deal said on Monday that the cash call would be successful.
"The offering will be comfortably covered. There is interest by quality long-term institutional investors, not only hedge funds," the banker close to the transaction told Reuters on condition of anonymity.
Greece's biggest lender National Bank of Greece (NBG) also plans to tap markets with a 2.5 billion euro share issue next month. ($1 = 0.7223 Euros) (Reporting by George Georgiopoulos; Writing by Angeliki Koutantou; Editing by Erica Billingham)