AIB agrees to sell €1.1bn portfolio of non-performing loans

AIB agrees to sell €1.1bn portfolio of non-performing loans

AIB has agreed to sell a portfolio of non-performing loans to a consortium led by Cerberus Capital Management.

The consortium includes an Irish debt-management firm, Everyday Finance, and the portfolio contains loans in "deep, long term" arrears with around 90% more than two years in arrears and around 70% more than five years in arrears.

The bank said: "The portfolio is underpinned by investment asset properties and excludes private dwelling houses and family farm homes."

The portfolio has 800 customers with an average loan balance of €1.4m and AIB said it does not include loans that have been restructured and deemed to be performing by the bank.

When completed, AIB said it will receive €800m from the deal which will be used for ongoing liquidity management.

- Digital Desk

More in this Section

Aer Lingus adds flight to Greek island as part of summer scheduleAer Lingus adds flight to Greek island as part of summer schedule

Business movers: Kevin Davidson appointed as the new MD of BMW Group Ireland.Business movers: Kevin Davidson appointed as the new MD of BMW Group Ireland.

Employment law expert: Returning emigrant workers will be glad to see how well their rights are protectedEmployment law expert: Returning emigrant workers will be glad to see how well their rights are protected

Saudi Aramco reaches landmark $2 trillion in second day of tradingSaudi Aramco reaches landmark $2 trillion in second day of trading


Lifestyle

Bag a bargain and beat the stress of flying at night with these top tips, says Claire Spreadbury.5 ways to make your late-night flight more bearable

Don’t just bung this festive favourite in a boring pot and wait for it to wilt, says Hannah Stephenson.How to style your Christmas poinsettia

I developed a cold two weeks ago with painful, throbbing ear pain.Natural Health: How to deal with throbbing ear pain and smelly feet

More From The Irish Examiner