Royal Bank of Scotland has reached an agreement to sell some USD 600 million worth of shipping loans from its portfolio, Reuters said citing sources close to the matter.
Namely, Reuters informed that the buyers of the shipping loans include the Japan-based financial services group Orix Corporation, which reportedly said it would purchase USD 290 million worth of shipping loans, while around USD 300 million worth of loans would be bought by German Berenberg Bank.
Other financial institutions, including Bank of America Merrill Lynch, as well as investment management firm Davidson Kempner Capital Management, were earlier unveiled as potential buyers of the shipping loan tranches.
Being sold in various parcels, the loans are primarily derived from the bank’s Greek shipping business.
The 73-percent state-owned bank, which is currently in the midst of a restructuring, is selling its shipping loans in an effort to exit the sector and return to profit after eight straight years of losses.
In mid-2016, RBS tried to sell its entire Greek ship finance business, which was valued at around USD 3 billion at the time, after being faced with a number of bad shipping loans due to a sluggish demand in the shipping industry.
World Maritime News Staff