Paulson Sells 2.8% Stake in Piraeus Bank

Greece-based Piraeus Bank on Tuesday announced that major shareholder Paulson & Co. Inc. has sold 35 million ordinary shares, corresponding to approximately 2.8% of Piraeus’ share capital, at a price of 4.58 euros per share.

The transaction was executed through an accelerated bookbuilding process managed by Goldman Sachs, with the total value of the package reaching 160.3 million euros.

Through this move, the US investor has undertaken a rebalancing of its portfolio, securing profits from Piraeus Bank shares, which have gained 6.87% over the past month, while also contributing to the free float, according to a bank press release.

Despite the sale, Paulson remains the largest shareholder of Piraeus Bank, retaining approximately 170 million shares, or 14% of the ATHEX-listed lender.

In an official statement, the firm emphasized its commitment to the bank: “Paulson is dedicated to remaining a long-term shareholder and actively participating in the growth and value enhancement of Piraeus Bank.”

Strong Financial Results for Piraeus Bank

Piraeus Bank reported robust financial performance for 2024, announcing net profits of 1.1 billion euros, marking a 38% year-on-year increase.

The bank also posted a strong return on average tangible book value (RoaTBV) of 17.5%, aligning with the highest returns in the European periphery.

Net revenues totaled 2.8 billion euros, representing a 7% increase in 2024. Fee income surged four times faster than net interest income, growing by 16% year-on-year, compared to a 4% annual increase in net interest income.

This growth was driven by a significant rise in customer balances.

The fee-to-net-revenue ratio reached 23%, the highest in Greece, marking a two-percentage-point annual increase.

Piraeus Bank also clarified that any potential acquisition moves in the coming years will not affect its plan to increase the shareholder distribution ratio to 50% of net profitability, reaffirmed by the bank’s management during the presentation of its 2024 results and its new four-year business strategy.

Source: tovima.com