Greece's bank fund may call for NBG shareholder meeting

November 9, 2016 1:35 PM EST

People make their way next to the headquarters of Bank of Greece in central Athens, Greece, October 30, 2015. REUTERS/Alkis Konstantinidis


Get daily under-the-radar research with StreetInsider.com's Stealth Growth Insider Get your 2-Wk Free Trial here.

ATHENS (Reuters) - Greece's bank rescue fund said it might call a special shareholder meeting at National Bank of Greece after voting against the appointment of a new chairman.

The rescue fund, known has HFSF, which holds a 40 percent stake in NBG, said in a statement on Wednesday that it might call an extraordinary shareholders meeting on the issue.

"HFSF... is contemplating calling an extraordinary general meeting taking into account that the smooth cooperation between the board of directors of NBG and the controlling shareholder is essential," the fund said.

Last week, NBG's board had voted against HFSF's proposed candidate Dimitris Tsitsiragos, an executive at International Finance Corporation, a member of the World Bank Group. On Wednesday, NBG reconstituted its board and appointed former deputy central bank governor Panagiotis Thomopoulos as its new chairman.

Under Greece's third international bailout, Athens must 'de-politicize' links between government and its banks, boost board-level expertise and improve corporate governance.

Thomopoulos, a former deputy central bank governor, would replace Louka Katseli, a former economy minister, who resigned last week.

NBG, the country's second largest bank, said the new board would need the approval of the European Central Bank's Single Supervisory Mechanism.

Greece's central bank has urged all parties to come to a compromise to safeguard financial stability.

"The Bank of Greece has exhausted its good advice to all parties concerned," a senior central bank official told Reuters.

(Reporting by George Georgiopoulos. Editing by Jane Merriman)



Serious News for Serious Traders! Try StreetInsider.com Premium Free!

You May Also Be Interested In






Related Categories

Reuters

Related Entities

Merriman Curhan Ford, European Central Bank

Add Your Comment