The Hellenic Financial Stability Fund (HFSF) is expected to proceed immediately with its disinvestment from the National Bank of Greece (NBG).
More specifically, the Hellenic Financial Stability Fund, which still maintains a 18.39% shareholding participation in the Bank, is expected to announce the recruitment of a financial advisor and a legal advisor who will initiate the process. There are two main issues in this sale:
- When will the privatization of the bank take place?
- If it will be concluded by selling the total percentage, something that will proceed with the recommendation of the consultants, after they have examined the market conditions.
In terms of timing and with the US election set for November 5, there is an informal but effective lock out of US investors for about a month before the election and a week after it. Therefore, the sale will be carried out either before October 5 – for US funds to participate – or after November 12.
September is critical
It is obvious that September is a much more appropriate month for the project, if the conditions are met. As far as the percentage is concerned, it is estimated that it will probably concern the total privatization of NBG, since there is interest from the bank itself to buy and cancel shares if the SSM approves it. The previous disinvestment of the National Bank, according to data from the HFSF, at a percentage of 22%, is characterized as one of the most successful of the last years, at the European level.
The book building process was fully covered for the first time in the bank’s initial public offering within 20 minutes of its opening on November 13, 2023.
Raising a total of 1.067 billion euros and a final price per share of 5.30 euros, the disinvestment from the National Bank is the largest privatization transaction in recent years in Greece. Given the interest in the sector and based on the fact that National Bank is the firm preference of foreign banks, it is estimated that the procedure will proceed swiftly.
