Athens, Greece. Alpha Bank priced a €600 million Green Senior Preferred Bond this week, with investor demand exceeding €1.5 billion. The bank also said it finalised its share buyback programme.
Bond pricing and demand
Alpha Bank said the bond attracted total demand of more than €1.5 billion, resulting in oversubscription of nearly three times the initial target through the international order book process. The issuance forms part of the bank’s broader funding strategy and supports its continued presence in international debt markets.
Structure and terms
The bond has a six-year maturity with an early redemption option at five years and carries a fixed coupon of 3.75 per cent. The final yield was set at 3.844 per cent, equivalent to 95 basis points above the corresponding mid-swap level, which the bank said reflected strong demand and a positive assessment of its credit profile by international investors.
Recent issuance activity
The deal is Alpha Bank’s second Senior Preferred Bond in less than three months, bringing total funds raised through such issuances to €1.35 billion.
Investor participation and allocation
The bank said more than 100 institutional investors took part. It added that 80 per cent of the allocation went to international investors, citing broad geographical and qualitative distribution of demand.
Use of proceeds and bookrunners
According to Alpha Bank’s Green Bond Framework, proceeds will be used to finance eligible green investments, aligned with its commitment to sustainable development and the green transition of the Greek economy. Joint bookrunners were AXIA, Crédit Agricole CIB, Commerzbank, Goldman Sachs Bank Europe, Morgan Stanley, Nomura and UniCredit.
What do you think the strong international demand for Alpha Bank’s green bond signals about investor interest in Greek issuers?