Corporate bonds put on ice until market turmoil eases off

This year began with high expectations for Greek corporate bond issues after the benchmark of the Athens Exchange rallied close to 1,000 points and 10-year state bond yields dropped to 12-year lows. However, unrest on international markets in February, the Italian political crisis, concerns over Greek banks and worries about Greece's post-bailout prospects after the government opted for the so-called "clean exit" led to some of those plans being frozen or canceled.

Market jitters forced investors to seek higher bond yields, forcing Greek companies to find other sources of funding or wait until the dust settles. Some have chosen to sit tight until there is greater visibility in local politics, ahead of next year's general election.

NBG Pangaea announced an issue of 400 million euros back in May, but called it off a few days later due to the plunge in Italian bonds that...