Cerberus to buy €1bn of AIB's non-performing loans

Cerberus to buy €1bn of AIB's non-performing loans

AIB is to sell €1bn worth of non-performing loans to to Everyday Finance, an affiliate of Cerberus Capital Management.

Last year, the bank says the loan portfolio incurred a loss of €11m.

Cerberus will pay AIB €800m, which the bank says will be used for "general corporate purposes".

The portfolio is made up of over 2,000 customer loans with the majority being buy-to-let properties.

The sale excludes performing restructured customer loans.

The bank says it is contacting impacted borrowers to inform them that their loans are being transferred.

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