Banco Popular continues disinvesting in order to comply with the needs of capital imposed by the stress test of Oliver Wyman and the royal decrees on financial reorganization. Yesterday it announced the transfer of its delinquent credits recovery business to the company EOS Group for 135 million Euros. 133 million out of these are added values, which allow to cover the 300 million Euros of extraordinary results included in the business plan almost entirely. Thanks to this, Popular is very near to complying with the requirements of the Oliver Wyman´s test, which fixed the capital needs at 3300 million Euros.
This operation, which has been finalized thanks to the assessment of Atlas DC Advisory, joins the sale of a troubled consumer loans portfolio of 1143 million Euros to the funds Lindorff and AnaCap, as advanced by EXPANSION on the 12th December. In total, the group presided over by Angel Ron has obtained gains of 170 million Euros in these two sales.
The operation closed yesterday puts EOS Group in charge of handling exclusively the recovery of unpaid loans to third parties for the next ten years. This German company, which acquired the recovery subsidiary of Pastor in 2009, will be in charge of the recovery of all types of loans: mortgage, consumer, big companies and public administrations. Popular had 5000 million Euros in unpaid loans at the end of September.
The sale includes the transfer of the recovery subsidiary team of Popular, made up of twenty professionals, to EOS Group.
This type of operations has spread in the financial sector since the beginning of the crisis. The first great institution which sold its recovery subsidiary was Santander, which transferred Reintegra one year ago to the Norwegian group Lindorff. Banesto did the same, selling Aktua to the U.S. fund Centerbridge for nearly 90 million Euros.