Greek Piraeus Bank Eyes $1.2 Billion Capital Raise in March

  • State fund wants its stake to fall below 30% from 61.3% now
  • Hellenic Financial Stability Fund CEO speaks in interview

A Piraeus bank branch near Athens, Greece.

Photographer: Yorgos Karahalis/Bloomberg
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Piraeus Bank SA, Greece’s third-largest lender, is preparing for a capital increase next month that will reduce the state’s stake and represent a step toward normalization for the rescued lender.

The head of Greece’s bank recapitalization fund, which currently holds a 61.3% stake, said in an interview in Athens Tuesday that Piraeus would issue a prospectus this month and tap the market within the first quarter.