Announcements

                                                             THE HELLENIC REPUBLIC

                            MINISTRY OF FINANCE | PUBLIC DEBT MANAGEMENT AGENCY

                           EUR 2.5 billion 1.875% new 7-year benchmark due 23 July 2026

Transaction Highlights

·         On Tuesday, 16^th July, the Hellenic Republic, rated B1/B+/BB-/BBL (stb/pos/stb/stb), issued a new €2.5bn 7-year fixed-rate RegS/144a benchmark due 23 July 2026. The transaction has a coupon of 1.875% and a reoffer yield of 1.90%, equivalent to a spread of +243.3bp over the DBR 0.5% Feb-26. 

·         This 7-year benchmark issue, which adds yet another point to Greece’s yield curve, priced with the lowest yield (1.90%) and lowest coupon (1.875%) that the Hellenic Republic has ever achieved for a Euro-denominated benchmark syndication. Moreover, this transaction represents the first time that the Hellenic Republic has come to market with three syndications in one year since 2010, demonstrating the normalization of Greece’s access to international capital markets.

·         The theoretical “fair value” of a new 7-year benchmark for the Hellenic Republic was estimated by the joint lead managers at 1.82%. This was calculated using Greece’s existing curve, namely the GGB Feb-25, GGB Jan-28 and GGB Mar-29. This calculation suggests that this transaction offers to investors a concession of c.8bp.

·         Comprised of 335 individual orders, the final orderbook totalled in excess of €13bn (incl. €380mn JLM interest), which represents the largest orderbook for the Hellenic Republic since Greece completed the third fiscal adjustment programme in August 2018.

Issuance Timeline

• The Hellenic Republic officially announced a new 7-year RegS/144a benchmark issue the morning of Monday, 15^th July, with pricing expected in the near future subject to market conditions.
• At 8:15 LDN the morning of Tuesday, 16^th July, initial pricing thoughts (“IPTs”) for the new 7-year were announced at 2.10% area. The transaction attracted strong investor demand, and with indications of interest (“IoIs”) in excess of €10.5bn (incl. €420mn JLM interest), at 9:53 LDN books officially opened with guidance at 2.00% area.
• The orderbook continued to grow with orders in excess of €12.5bn (€430mn JLM interest) by 11:17 LDN, which allowed the reoffer yield to be set at 1.90%. The orderbook closed at 11:45 LDN, with final orders in excess of €13bn (incl. €380mn JLM interest) and over 335 investors participating in the transaction.
• Thereafter, given the size of the orderbook and the quality of the orders received, at 13:06 LDN the size of the transaction was set at €2.5bn.
• At 16:52 LDN, the transaction was officially priced at 1.90%, equivalent to a spread of 243.3bp over the DBR 0.5% Feb-26.

Orderbook Distributions

• The final orderbook was in excess of €13bn, more than 335 distinct orders. The transaction enjoyed broad geographical spread, led by the UK (33%) and a total of 84% internationally distributed, outside of Greece. By investor type, real money investors led the distribution, with fund managers accounting for 55% of allocations.   

                      Distribution by Region                                                                  Distribution by Type

                                                                                DISCLAIMER

This document has been prepared by the Joint Lead Managers for information purposes only. This document is an indicative summary of the terms and conditions of the transaction described herein and may be amended, superseded or replaced by subsequent summaries. The final terms and conditions of the transaction and any related security will be set out in full in the applicable offering document(s), pricing supplement or binding transaction document(s).

This document shall not constitute an underwriting commitment, an offer of financing, an offer to sell, or the solicitation of an offer to buy any securities described herein, which shall be subject to the Joint Lead Managers’ internal approvals and satisfaction of all appropriate conditions precedent. No transaction or service related thereto is contemplated without the Joint Lead Managers' subsequent formal agreement.

The Joint Lead Managers are not responsible for providing or arranging for the provision of any general financial, strategic or specialist advice, including legal, regulatory, accounting, model auditing or taxation advice or services or any other services in relation to the transaction and/or any related securities described herein. The Joint Lead Managers are acting solely in the capacity of arms’ length contractual counterparty and not as adviser, agent or fiduciary to any person. The Joint Lead Managers accept no liability whatsoever to the fullest extent permitted by law for any consequential losses arising from the use of this document or reliance on the information contained herein.

The Joint Lead Managers do not guarantee the accuracy or completeness of information which is contained in this document and which is stated to have been obtained from or is based upon trade and statistical services or other third party sources. Any data on past performance, modelling, scenario analysis or back-testing contained herein is no indication as to future performance. No representation is made as to the reasonableness of the assumptions made within or the accuracy or completeness of any modelling, scenario analysis or back-testing. All opinions and estimates are given as of the date hereof and are subject to change. The value of any investment may fluctuate as a result of market changes. The information in this document is not intended to predict actual results and no assurances are given with respect thereto.

The securities described herein have not been and will not be registered under the U.S. Securities Act of 1933, as amended (the "Securities Act") and may not be offered or sold within the United States or to or for the account or benefit of U.S. persons, as defined in Regulation S under the Securities Act. This document is not intended for distribution to and must not be passed on to any retail client.

NO ACTION HAS BEEN MADE OR WILL BE TAKEN THAT WOULD PERMIT A PUBLIC OFFERING OF ANY SECURITIES DESCRIBED HEREIN IN ANY JURISDICTION IN WHICH ACTION FOR THAT PURPOSE IS REQUIRED. NO OFFERS, SALES, RESALES OR DELIVERY OF ANY SECURITIES DESCRIBED HEREIN OR DISTRIBUTION OF ANY OFFERING MATERIAL RELATING TO ANY SUCH SECURITIES MAY BE MADE IN OR FROM ANY JURISDICTION EXCEPT IN CIRCUMSTANCES WHICH WILL RESULT IN COMPLIANCE WITH ANY APPLICABLE LAWS AND REGULATIONS AND WHICH WILL NOT IMPOSE ANY OBLIGATION ON THE JOINT LEAD MANAGERS OR ANY OF THEIR AFFILIATES.

The Joint Lead Managers, their affiliates and the individuals associated therewith may (in various capacities) have positions or deal in transactions or securities (or related derivatives) identical or similar to those described herein.

This document is confidential, and no part of it may be reproduced, distributed or transmitted without the prior written permission of the Joint Lead Managers.

These materials are not an offer for sale of the securities in the United States.  Securities may not be sold in the United States absent registration or an exemption from registration under the U.S. Securities Act of 1933, as amended.  The HELLENIC REPUBLIC does not intend to register any portion of the SECURITIES offering in the united states or to conduct a public offering of securities in the united states.