Reportedly, at least five investors have entered last week the bidding process for Alpha Bank’s Galaxy Project, including PIMCO and Bain. Alpha Bank management is optimistic for the outcome of the tender. The project consists of 100% of the new Cepal (servicer) and 95% of the intermediate and low rating titles of Galaxy.
There is also information about another major player in the secondary market, who signed a confidentiality agreement and entered the process at the last minute.
Alpha Bank executives say they are satisfied with the number and quality of bids, noting that if competition remains at this level and when bids are submitted, the new Cepal will be transformed into a strong investment scheme, creating growth and security conditions for its staff.
The sale of up to 100% of Cepal and 95% of the titles of the intermediate and low-grade Galaxy title is the first large-scale modular transaction to come out after the pandemic in Europe.
Cepal, which has been servicing the NPLs of Alpha Bank, comes with NPL claims of €27 bn.
The fact that the buyer can get 100% of Cepal is an advantage as the buyer can create the strongest independent servicer in terms of portfolio and prospects in the domestic market. In the cases of Intrum Hellas and doValue Greece, Piraeus and Eurobank, respectively, maintained 20%, with the right to sell in a few years.
Original Source: Euro2day
Adaptation/Summary: Kiki Athanasiadis