Savia Asset Management Acquires €1 Bn in NPLs of SMEs From CaixaBank

25/06/2014 – Expansion

Savia Asset Management, chaired by Santander´s president´s son Javier Botín, bought over €1 billion in unpaid loans of SMEs and a part of credits granted to big companies, found inside the huge NPL portfolio of CaixaBank known as the “Flanders Project“.

 The sale attracted other prominent investors like Cerberus, Oaktree, Elliot, Aiqon, Fortress and Marathon.

Botín´s firm purchased the lot together with Perry Capital, U.S. fund that handed over a major part of the due amount. Savia will manage and collect the debt.

Before this transaction, the partners acquired also NPLs from Liberbank and Popular. The operation is said to involve €40 million.

Savia was founded two years ago and currently the firm employs 140 experts. Last year only, it bought seven bank portfolios (CaixaBank, Bankia, BMN, Liberbank, Ibercaja, Popular and BBVA) valued altogether at nearly €5 billion.

The portfolio acquired now includes around 33.000 unpaid loan records, mainly in Catalonia, Madrid and Andalusia.

The Flanders package contained also a portfolio with loans of SMEs, backed with such property as offices, industrial warehouses or retails. This part, worth €70 million, has been purchased by U.S. fund D. E. Shaw.

In parallel, CaixaBank is carrying out another sale of the “Valonia Portfolio” consisting of corporate loans valued at €1.05 billion. Out of these, €700 million have got no real estate guarantee, while €350 million do have it. More than a half of the properties is located in Madrid and Andalusia.

 

Original article: Expansión (by Jorge Zuloaga)

Translation: AURA REE

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