06/06/2018 16:03
Hellenic Bank has completed the sale of a non-performing loan portfolio of predominantly non-retail secured and unsecured exposures to B2Kapital Cyprus Lt.d.
B2Kapital Cyprus Ltd, a company licensed by the Central Bank of Cyprus to operate as a credit acquiring company, is a wholly owned subsidiary of B2Holding ASA, a Norwegian corporation listed on the Oslo Stock Exchange. Further to the Bank’s announcement on 2 January 2018, all required procedures under the relevant legislation and the obtaining of applicable approvals and clearances from the relevant regulatory authorities have been completed.
Accordint to a statement, the Transaction is part of the Bank’s strategy for reducing its non-performing loans and is at arm’s length.
The gross contractual outstanding balance of the assets sold pursuant to the Transaction is €144m comprising of 1,082 borrowers and 1,809 facilities (in each case as at 31 May 2018).
The Transaction is not expected to have a material impact on the income statement and capital position of the Bank due to existing provisions taken against these assets.
The Transaction is consistent with the Bank’s strategy of “fixing” the balance sheet and at the same time it is in line with the European Central Bank and International Monetary Fund guidelines on the management of non-performing loans. In addition to organic reduction of the problematic portfolio, the Bank remains focused to accelerate the de-risking of its non-performing exposures.
Β2Kapital Cyprus Ltd will contact the affected customers and their respective guarantors / security providers, in accordance with applicable laws.
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