The quality of the investors, the number and the amount of the bids are satisfactory, according to Eurobank executives. Within two weeks, three investors that bid for project Cairo and FPS will have to submit binding offers.
Eurobank had five bidding offers for the securitization of project Pillar (2 bn mortgages). The funds that have submitted a binding offer are: Pimco, LoneStar, B2 Kapital and the Fortress-do Bank and Elliot-Bain-Cerved joint ventures. Three of them also expressed non-binding interest in acquiring the Cairo portfolio, of 7.5 billion euros non-performing loans, as well as in the acquisition of 70% of the bank’s servicer, FPS.
Eurobank wants to complete the transaction by the end of July. The Pillar project is the first securitization in the Greek housing market. It consists of 45,000 denominated mortgages, with an average value of 80,000 euros. After the completion of all transactions, Eurobank FPS will have 23 billion euros of non-performing loans in its portfolio.