National Bank of Greece has reached an agreement to sell a portfolio of non-performing (NPL) shipping loans with an aggregate face value of €262Mn to investment funds advised by Cross Ocean Partners.
In a note, the lender explained «the transaction is being implemented in the context of NBG’s NPE reduction strategy». In the same statement is said that the sales price is about 50% of the portfolio’s worth on the balance sheet and would have a «marginal» impact on the bank’s capital.
A source with knowledge of the transaction told Lloyd’s List that the agreed portfolio comprises about a dozen individual loans including some coastal ferry lending, but the majority relate to oceangoimng dry bulk and tanlker business, the source said.
Servicing of the loans is expected to be assigned to QQuant Master Servicer, which is licenced by the Bank of Greece as an independent specialist in servicing of non-performing Greek debt.
Recent research put the bank among the top 10 lenders to the Greek shipping industry.
Cross Ocean Partners, led by ex-Bank of America Merrill Lynch managers Graham Goldsmith and Steve Zander, was set up in 2015 with backing from US-based private equity firm Stone Point Capital.
Nat West Markets acted as financial advisor on the sale while NBG retained Watson Farley & Williams as legal counsel.
Original Story: Loyds List | Nigel Lowry
Photo: Photo by Michalis Famelis / Wikimedia Commons
Edition: Prime Yield