LONDON, Oct 15 (IFR) - Piraeus Bank has launched an exchange offer on its outstanding subordinated and senior bonds in the hope of strengthening its capital base.
The Greek lender is targeting a 200m preferred security, a 400m sub and a 500m senior issue that it wants to exchange into "non-transferable" receipts. Investors will subsequently be offered either cash or equity in exchange for those receipts.
In a statement, Piraeus said the exchange was being made to "strengthen its capital base, which has been impacted by the impaired macro-economic conditions recently experienced in the Hellenic Republic that are affecting all Greek financial institutions." (Reporting by Helene Durand; Editing by Sudip Roy, Julian Baker)