Filenews 11 June 2022 - by TheanoThiopoulou
The management of Hellenic Bank's non-performing loans by Pimco and the relevant agreement for the sale of a loan portfolio of non-performing loans amounting to €0.72 billion are progressing. As announced in the Gazette of the Republic, Hellenic intends to sell to Pimco's subsidiary, Kohira Holdings, credit facilities and/or the decided debts of customer accounts, the numbers of which have been given in the publication, as well as the guarantors or collaterals that guarantee or ensure the credit facilities.
The first debtors and/or guarantors whose account numbers are mentioned in the publication are invited within 50 days to submit an offer to Hellenic, in order to obtain or pay the credit facility.
It is clarified that any offer should be in writing and include at least the following: The amount of the offer to repay or obtain the credit facility, the period of time within which the customer will repay or acquire the credit facility and the source of the financing of the payment or acquisition of the credit facility. Hellenic Bank states that the offer to repay or acquire the credit facility can be submitted once. In the event that such an offer is not submitted within fifty days from the date of publication, it will be considered that the customer does not wish to make an offer.
It is also noted by Hellenic Bank that proposals for the restructuring of the credit facility that will be submitted will not be taken into account as offers, but will be examined within the framework of the restructuring processes. It is stated that any offer to acquire or repay the credit facility will not be binding on Hellenic who will not be obliged to provide, to anyone involved, evidence of the examination or of its decision not to accept the said offer.
Positive effects of selling to Kohira
With the completion of the sale of this loan portfolio, Hellenic Bank "cleans up" significantly, with its non-performing loans with the adjusted ratio, excluding non-performing loans covered by the Undergraduate program, reaching 3.4%. The transaction of the sale of the non-performing loan package will have a positive impact on both the capital ratio of 12 basis points and the common equity capital ratio in tier 1 (CET1).
