The two bold takeover initiatives that are animating share trading in Portugal – Millennium BCP’s €4.3bn bid for Banco BPI and the Sonae conglomerate’s €11.2bn offer for Portugal Telecom – are also expected to have a significant impact on the country’s debt market.
“Whether they are successful or not, these bids will increase activity in the debt market because the acquisitions, or the response to them by the targeted companies, will have to be financed,” says Paulo Gray, Citigroup’s country officer in Portugal. “They are a sign of initiative and entrepreneurship that is good news not just for bankers but for the economy as a whole.”
