The rise in late payment to over 13% pushed entities to strengthening their recovery teams and considering a sale of their business to more experienced foreign funds and platforms.
The last path has been taken by Santander, Banesto, Popular, Pastor and BMN. The banks earned altogether €350 million for the transfer and outsourcing their collection affiliates.
More entites are said to follow the decision in the forthcoming months. For example, Liberbank in now negotiating sale of its branch for €50 million. Ibercaja, Unicaja, NCG Banco and Cajamar are said to do the same. (…)
According to a report of Montalbán Atlas Capital, both parts benefit from such contracts. For banks, the default credit recovery rate and annual capital gains go up. (…). In turn, funds receive a chance of skimming part of the huge amount of money flowing through the sector (€455 annualy on average).
Norwegian group Lindorff is an expert in the field. First, it bought Reintegra, a collection branch Santander, for €35 million. At the end of 2013, it acquired the subsidary of BMN for €39 million. (…).
German EOS also had a rocket-like ascent on the Spanish market by buying Acción deCobro from Banco Pastor at the end of 2009 for €24 million. What is more, the company aquired an early-stage credit platform of Popular for €135 million, setting a new record high in this kind of transactions.
Another operation that involved huge amount of money was the sale of Banesto´s Aktua to Centerbridge for about €100 million at the end of 2012. (…).
Sales of the credit outstanding portfolios is a whale of a game. The groups like Santander, Bankia, BMN, Liberbank, Popular, Cajamar, Cetelem, Iberbaja, Sabadell and BBVA sold almost €8.000 million in unpaid credits in 2013.
Original article: ExpansiónPro (Jorge Zuloaga)
Translation: AURA REE