Alpha Bank, Eurobank and KKR to Support Greek Companies through Pillarstone Platform.
M2 EQUITYBITES-May 18, 2016-Alpha Bank, Eurobank and KKR to Support Greek Companies through Pillarstone Platform
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18 May 2016 - Greek banking firms Alpha Bank A.E. (OTC: ALBKD) and Eurobank, and US-based investment firm KKR's (NYSE: KKR) KKR Credit unit have reached a binding agreement by which the banks agree to assign the management of credit and equity exposures to a selected number of Greek companies into a platform managed by Pillarstone, the banks said.
Subject to final board approval, the European Bank for Reconstruction and Development is considering co-investing in partnership with KKR and the banks.
According to the banks, the platform will provide fresh long-term capital and operational expertise to large Greek corporate borrowers helping them stabilise, recover and grow for the benefit of all stakeholders. The Greek banks will share in the upside as the businesses' performance recovers.
This platform, both in terms of scope and scale, will have the flexibility to allow other lenders to participate by contributing loan portfolios or adding existing exposures to a specific company to those of the other banks.
The transaction is subject to the completion of certain conditions precedent.
HSBC Bank plc acted as the coordinator and structuring adviser of the transaction for Alpha Bank and along with Mediobanca for Eurobank.
Alpha Bank is one of the largest banking and financial groups in Greece, with international presence and over 14,000 Employees in Greece and abroad.
Eurobank group is a banking group active in eight countries, with total assets of EUR 72.9bn and c. 17.000 employees.
With a total network of over 970 branches in Greece and abroad, the group offers a range of financial products and services to its retail and corporate customers.
KKR is a global investment firm that manages investments across multiple asset classes including private equity, energy, infrastructure, real estate, credit and hedge funds.
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