Goldman & Värde Join Forces to Bid For Eurohypo

25/04/2014 – Expansion

The sale of Commerzbank´s affiliate in Spain may still topple over. So far, it has been taken for granted that the €4.5 billion lot of non-performing loans linked to property will be sold as a whole but now it turned out that the portfolio might be chopped into pieces and sold separately to funds.

Eurohypo will be transferred to hands of one of the bank-fund alliances created with view to acquistion of the credit package. The latest deal was made between Goldman Sachs and Värde Partners. At the bidding, they will face up to Apollo allied with Santander, Blackstone with Deutsche Bank, Lone Star with JPMorgan and Cerberus that could attend together with Credit Suisse or Bank of America.

At the moment, the “Octopus Project” is the largest credit portfolio on sale in Europe. The investors shall present their binding offers up to 5th May.

Last year, Goldman Sachs and Azora bought 3.000 houses in the Community of Madrid for €201 million. In turn, Värde Partners with Kennedy Wilson acquired Aliseda from Popular for €810 million.



Original article: Expansión (by Jorge Zuloaga)

Translation: AURA REE