Sabadell to Shed Debt Collection Servicer

28/04/2014 – Expansion

Banco Sabadell also wishes to sell its non-core assets. The entity led by Josep Oliu is preparing sale of its debt collection division that will be put up for sale in the upcoming weeks and will change hands before summer. Sabadell itself refused commenting on the matter.

The fifth Spanish bank has named Montalban Atlas Capital to coordinate the sale baptized as “the Budapest Project”, currently in the teaser stage.

Although no numbers are trustworthy, the manager that administers over €20 billion in unpaid loans to SMEs (with more than 90 days of default) and to individuals (over 30 days) is believed to be purchased for between €100 million and €150 million, basing on the amount Banco Popular obtained during a similar sale in 2013.

Apart from Sabadell, several other entities (Santander, Banesto, Popular, Pastor and BMN) shed their collection servicers during the recession, receiving jointly around €330 million for them.

Likewise, in 2013 Santander, CaixaBank, Popular, Banesto, BMN, Catalunya Banc and Bankia sold their real estate managers earning about €2 billion.

So far, only Sabadell and BBVA have not followed the suit. The latter received non-binding offers for Solvia reaching €1 billion. Instead of selling it, though, the bank decided to list it on the stock exchange as its spin-off.



Original article: Expansión (by J. Zuloaga & S. Saborit)

Translation: AURA REE