Italy 
Portugal 
Spain 
Alpha bank to make the biggest securitization and a carve-out in Europe in order to reduce NPEs
Alpha Bank is about to carry out the largest NPL securitization and transfer in Europe since the onset of the crisis.
With a view to faster consolidation of its balance sheet, the Bank will proceed to the securitization of its non-performing loans of €12 billion. The securitization will reduce its non-performing loans in Greece by approximately 73% and the NPE and NPL ratios will drop by 20% and 10%, from 44% and 28% respectively.
Alpha Bank’s NPEs / NPLs activities will be sold to Cepal Hellas and a new management body (“New Cepal”) will be created, combining the advantages of both sides, quickly securing the resources needed to service non-performing portfolios. With the acquisition of Alpha Bank’s € 12 billion bad loans, Cepal will be by far the largest non-performing loan management company with € 30 billion in servicing procedure.
The deal to integrate Alpha’s NPLs into Cepal’s core will take 6-8 months. Cepal was licensed by the BoG in 2016, has already made ten portfolio transfers and manages NPL portfolios of three banks.
Original Source: Capital.gr
Adaptation/Translation: Kiki Athanasiadis