The National Bank of Greece (NBG) has issued €500 million in Additional Tier 1 (AT1) notes, marking its first such issuance. The perpetual notes offer a fixed coupon of 5.8% and feature a fixed rate reset, contingent temporary write down, and a call option after five and a half years. The bank stated that the notes are callable at par on any interest payment date from August 12, 2031 onwards.
Settlement for the issuance is scheduled for February 12, 2026. The notes will be listed on the Luxembourg Stock Exchange’s Euro MTF market.
Investor demand was high, with orders reaching approximately €5.5 billion from over 300 institutional investors—an oversubscription rate of eleven times. More than ninety percent of the issue was allocated to international institutional investors; UK-based accounts received twenty-nine percent, French accounts twenty-six percent, and Italian accounts seven percent. In terms of investor type, about eighty-one percent went to asset managers, insurance companies and pension funds; eleven percent to private banks and bank treasuries; and eight percent to hedge funds and others.
According to NBG, “The strong reception from global investors highlights the Bank’s robust fundamentals and the improving outlook for the Greek economy.”
The AT1 notes have been rated Ba3 by Moody’s. This issuance also contributed to an upgrade in rating for NBG’s Tier 2 Notes from Ba1 to Baa3 by Moody’s, making them the only investment grade Tier 2 Notes issued by a Greek bank.
Barclays, BNP Paribas, BofA Securities Europe SA, Goldman Sachs Bank Europe SE, Morgan Stanley SE and Nomura acted as joint bookrunners for this transaction. Legal advice was provided by Freshfields LLP and Karatzas & Associates.
