BBVA Sells €180 MN in Unpaid Credits to Intrum

11/04/2014 – Expansion

BBVA is the second Spanish entity that sheds a credit portfolio this year. After the transaction concluded by Bankia, the insitution chaired by Francisco González sold a deliquent loan portfolio worth €180 milliones to a Swiss collection group Intrum Justitia.

The portfolio contains more than 86.000 consumer loans, credit cards and uncovered. The transaction started off in January and was studied by 13 investors. As this kind of operations usually involve asking price of between 3% and 5% of the total value, the cost has been estimated at between 5 and 9 million Euros.

(…) Intrum Justitia has been present in Spain for past 30 years. It has got offices in Madrid and Barcelona, serving 2.000 clients and hiring 350 employees.

In parallel to the transaction, BBVA is negotiating the sale of 800 houses. Last year, it sold 1.000 dwellings for €100 million to Baupost Group.

Also, the bank sold another deliquent credit portfolio valued at €300 million to York Capital and to platform Savia Asset Management.



Original article: Expansión (by J. Z.)

Translation: AURA REE