Bank of Cyprus Sells Non-Performing Loans, Improves Capital Ratio

LONDON (Alliance News) - Bank of Cyprus Holdings PLC said Tuesday it had agreed to sell a ...

Alliance News 19 March, 2019 | 6:30PM
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LONDON (Alliance News) - Bank of Cyprus Holdings PLC said Tuesday it had agreed to sell a portfolio of non-performing loans, which is expected to have a positive effect on its capital ratios.

Bank of Cyprus explained the sales of the Project Helix loans would reduce its non-performing loan exposure by EUR2.7 billion and improve its non-performing exposure ratio to 36% from 47% prior.

The firm anticipates the sale to have a "positive" impact on its capital ratios of around 160 basis points. At the end of 2018, its CET1 ratio stood at 15.4% and total capital ratio at 18.3%.

The sale is expected to complete in the second quarter of 2019.

Shares in Bank of Cyprus closed unchanged at EUR1.35 on Tuesday.

By Ahren Lester; ahrenlester@alliancenews.com

Copyright 2019 Alliance News Limited. All Rights Reserved.

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Securities Mentioned in Article
Security Name Price Change (%) Morningstar Rating
Bank of Cyprus Holdings PLC 1.39 EUR -0.07 -
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