This article is from the source 'bbc' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.
You can find the current article at its original source at http://www.bbc.co.uk/news/uk-northern-ireland-30493048
The article has changed 3 times. There is an RSS feed of changes available.
Version 1 | Version 2 |
---|---|
Northern Ireland property loans sold to US private equity fund Cerberus | Northern Ireland property loans sold to US private equity fund Cerberus |
(35 minutes later) | |
Royal Bank of Scotland has sold loans related to Northern Ireland properties to the US private equity fund Cerberus. | Royal Bank of Scotland has sold loans related to Northern Ireland properties to the US private equity fund Cerberus. |
It is part of a wider deal worth £1.1bn, the bank told the stock market on Tuesday. | It is part of a wider deal worth £1.1bn, the bank told the stock market on Tuesday. |
The so-called Project Aran portfolio consists of around 5,000 properties, mainly in the Republic of Ireland. | |
However, around 20% of the loans relate to Northern Ireland. The value of the loans bought by Cerberus had been previously written down by RBS. | |
The portfolio made a loss of £800m in 2013, mainly due to provisions for bad loans. | The portfolio made a loss of £800m in 2013, mainly due to provisions for bad loans. |
RBS is the parent company of Ulster Bank, which is the largest bank in Northern Ireland and the third biggest in the Republic of Ireland. | RBS is the parent company of Ulster Bank, which is the largest bank in Northern Ireland and the third biggest in the Republic of Ireland. |
It announced in October that it was retaining control of Ulster Bank, following a review that considered selling off its business in the Republic of Ireland. | It announced in October that it was retaining control of Ulster Bank, following a review that considered selling off its business in the Republic of Ireland. |
Cerberus previously bought the entire Northern Ireland loan portfolio of the National Asset Management Agency (NAMA). | Cerberus previously bought the entire Northern Ireland loan portfolio of the National Asset Management Agency (NAMA). |
In a separate deal, Cerberus announced on Tuesday that it had also bought a £1.2bn portfolio of mostly non-performing commercial property loans from National Australia Bank (NAB). | In a separate deal, Cerberus announced on Tuesday that it had also bought a £1.2bn portfolio of mostly non-performing commercial property loans from National Australia Bank (NAB). |
It is part of the Australian bank's plan to leave its UK operations, where it has endured big losses at its Clydesdale and Yorkshire Bank businesses. | It is part of the Australian bank's plan to leave its UK operations, where it has endured big losses at its Clydesdale and Yorkshire Bank businesses. |