The portfolio acquired to the state-owned Portuguese Bank is composed by non-performing and sub-performing loans, as well as some repossessed real estate assets, with a total of €476 million. The loans were taken out mainly by small, medium and large enterprises, as well as to larger corporations. The collateral securing the loans includes a wide range of asset types, including finished and work-in-progress residential developments, industrial & commercial real estate assets, as well as land plots.
«This investment demonstrates our interest in the market, and our expertise in executing complex transactions that require dedication and close collaboration with the seller», explained Fabio Longo, Managing Director and Head of Bain Capital Credit’s European NPL (and real estate business). He adds: «We see the potential for further investment in Portugal, particularly in the real estate and non-performing loan markets».
«We are excited about entering the Portuguese NPL market with this acquisition», said Alon Avner, a Managing Director and Head of Bain Capital Credit’s European business. «After having acquired similarly complex portfolios across Europe and around the world, we believe the time is right to expand into Portugal and look forward to completing more transactions in the future».
965 million in Iberian real estate credit in July
In the same day, Bain announced the acquisition of its ninth NPL portfolio in Spain, in the amount of €489 million. The transaction was done with Ibercaja and comprises non-performing and sub-performing first lien bilateral loans to real estate developers. The collateral securing the loans is mostly residential development land.
«We continue to believe Spain is one of the most attractive NPL and real estate markets in Europe», stated Alon Avnar. «This portfolio, with its sizable exposure to land plots in Spain’s largest cities, is a great opportunity to continue expanding our footprint in its residential development sector», explained Fabio Longo.