The Royal Bank of Scotland is planning to sell £1.6bn of legacy loans, marking the largest property loan sale of its kind in the UK.
If successful, it is likely other UK banks will follow, to reduce exposure to a market still recovering from the crash a few years ago, the Financial Times reports. The manoeuvre - codenamed Project Monaco - forms part of a wider sale of loans in the bank's non-core banking unit, which could see as much as £44bn of property loans sold or wound down by 2014. RBS has approached a small number of private equity groups to sign a non-disclosure agreement, which would open the doors to firm bids for the legacy loans. These firms include Lone Star, Starwood Capital and Blackstone. Howe...
To continue reading this article...
Join Investment Week for free
Signup and gain exclusive members-only insights - all free of charge!
- Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
- Get ahead of regulatory and technological changes affecting fund management
- Important and breaking news stories selected by the editors delivered straight to your inbox each day
- Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
- Be the first to hear about our extensive events schedule and awards programmes
