Piraeus Bank opens books for 10-year Tier 2 note

Piraeus Bank, Greece’s largest lender by assets, on Wednesday opened books for a 10-year Tier 2 bond issue, aiming to raise about 500 million euros ($546 million), a source close to the deal said.

“Piraeus Bank is opening books for a 10-year issue, aiming at about 500 million euros,” the source told Reuters.

Pricing is seen in the low 6 percent range, the source added.

Piraeus is the second Greek bank to come out with a Tier 2 note this month, tapping a rally in Greek debt.

Alpha Bank, Greece’s fourth biggest lender, last week raised 500 million euros from a Tier 2 bond at 4.25 percent.

Piraeus sold a 400 million euro Tier 2 bond last June at a yield of 9.75 percent. National Bank of Greece in July then sold a 400 million euro Tier 2 bond at 8.25 percent.

[Reuters]