• Transaction / Assets
    2 portfolios (1 NPLs & 1 foreclosed assets)
  • Seller
    Cajamar
  • Buyer
  • € MM

Cajamar Sells 2 Problem Loan Portfolios

23 December 2017 – La Voz de Almería

Grupo Cooperativo Cajamar is continuing with the gradual reduction of its non-performing asset balance thanks to its strong performance in terms of the commercial management of its foreclosed assets and a reduction in its default rate.

In recent weeks, the entity has completed the sale of two portfolios, one containing foreclosed assets and the other containing non-performing loans, bringing the volume of problem assets sold so far this year to €791 million.

In this way, with the ordinary management of recoveries, boosted by the sale of these portfolios, Grupo Cooperativo Cajamar expects to close 2017 with a non-performing loan balance of less than €3.4 billion and a default rate of less than 11%.

Asset sales

Based on data as at 15 December, the rural Almería savings bank has sold more than 4,100 real estate assets for more than €600 million in terms of their gross book value, which represents an increase in sales of 55%.

Meanwhile, its non-performing loan balance, which amounted to €4.211 billion at the end of last year, had decreased to €3.964 billion as at September.

Interest in the market

The operations that have accumulated the largest volumes have been the sale of the Escullos portfolio, containing 1,456 loans worth around €176 million, sold to CarVal Investors and the combined organisation of Lindorff and Intrum Justitia; and the Tango portfolio, comprising around 400 assets, worth more than €57 million, which was sold to the US fund Waterfall.

Both operations were carried out through competitive processes and sparked a great deal of interest in the market. They received financial advice from Alantra.

The first portfolio of non-performing loans to companies and SMEs, most of which were secured, was mainly concentrated in the Community of Valencia (48.9%) and Andalucía (25.8%), although it also contained assets in Murcia, the Canary Islands, Cataluña, Castilla (La Mancha) and Madrid. The second comprised residential properties, although it also contained commercial and industrial assets, most of which were located in Andalucía, Murcia and Valencia.

Cajamar will close a positive year in terms of divestment, with a YoY variation in terms of the number of assets sold of more than 62%. The final numbers will also reflect the results of the current promotional campaign “Now or never”, with a selection of 4,500 properties with discounts of up to 40% (…)

Original story: La Voz de Almería

Translation: Carmel Drake

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