Shareholders approve EFG Eurobank stock dividend

ATHENS, June 19 (Reuters) - Shareholders at EFG Eurobank's annual meeting on Friday approved the bank's 2-for-98 share distribution in lieu of a cash dividend for fiscal year 2008.

Greek banks participating in the government's 28 billion euro liquidity support scheme are not allowed to pay cash dividends for 2008.

The group, with operations in Romania, Serbia, Bulgaria, Poland, Turkey and Ukraine, has said it plans to tap markets with the issue of a non-dilutive hybrid security of up to 500 million euros, which will strengthen its Tier 1 capital ratio by about 1 percent.

There was not enough quorum to clear the issue at Friday's general assembly and an extraordinary meeting was called for June 30.

(Reporting by George Georgiopoulos; editing by Simon Jessop)