Alpha Services and Holdings S.A. (together with its subsidiaries) has reached an agreement with an affiliate of Cerberus Capital Management, L.P. for the sale of a portfolio of Cypriot non-performing loans and real estate properties of a total gross book value of €2.4 billion.
The Portfolio will be sold by the 100% (indirect) subsidiary of the Group, Alpha International Holdings S.M.S.A.
According to a press release issued by the company, “Project Sky forms part of Alpha Bank Group’s strategy for the reduction of its stock of non-performing loans and is the culmination of a series of similar successful transactions completed by the Group over the previous years. With this transaction, the Group further de-risks its balance sheet by reducing the NPL ratio by an additional approximately five percentage points to 3% (as of September 30, 2021 pro forma).”
The impact on the Group’s income statement is fully in line with the allocated loss budget at c 0.2 billion euros, with a commensurate impact on the Group’s Total Capital Adequacy Ratio (CAD) of 20 bps (as of September 30, 2021 pro forma), the press release adds.
The Group also notes that completion of the transaction is expected to take place in Q3 2022, subject to the receipt of customary regulatory approvals. (CNA)
Source: Knews
Related Articles
See all articles
Article | 19 April 2024
Cypriot capital markets to benefit from EMTN dual-listing
The Finance Ministry, in collaboration with SIX, a financial market infrastructure company, and the Cyprus Stock Exchange (CSE), on Thursday announced the successful activation, referred to as going live, of the dual-listing of Euro Medium Term Notes (EMTN) of the Republic of Cyprus at the Cyprus Stock Exchange.
Read full article
