Eurobank agreed to sell a 2.0 bn euro mortgage NPLs to Pimco group as part of efforts to clean up its balance sheet.
Based on the deal, Celidoria, an entity owned by PIMCO, will buy 95% of the mezzanine and junior notes of the portfolio. The sale is valued at about 58% of the total gross book value of the portfolio, the bank said. Eurobank said it expects to close the transaction by July, subject to approval by the ECB.
Eurobank also agreed to start exclusive talks with Bravo Strategies III, a Celidoria affiliate, on another pool of securitized NPLs, and the sale of a majority stake of its servicer, FPS. Exclusive negotiations would start immediately and end on September 30.