U.S. hedge funds investing heavily in Greek banks

Hedge fund billionaire John Paulson΄s Paulson & Co and a number of other U.S. hedge funds are investing aggressively into Greece΄s struggling banking sector expecting it to turn a corner, the Financial Times reported on Sunday, according to Reuters.

The FT said the interest from these funds had prompted big banks in the country to lobby the government to consider speeding up the reprivatization of the sector.

Paulson & Co could not be immediately reached for comment, says Reuters.

John Paulson told the Financial Times that his fund had substantial stakes in Piraeus Bank and Alpha Bank.

“(Both) are now very well capitalized and poised to recover (with) good management,” he was quoted as saying.

The Financial Times citing unnamed sources said that Baupost, Eaglevale, Dromeus Capital, Falcon Edge, York Capital and Och-Ziff are among the other funds investing heavily in Greek banks.

Source: capital.gr