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European trio buy Romanian loan portfolio
28 July 2014
Purchase of €495m portfolio of 3,566 loans largest of its kind in Romania to date
European private equity firm, AnaCap Financial Partners
(AnaCap), HIG and Deutsche Bank, have acquired a €495m
portfolio of non-performing and sub-performing loans from
The portfolio of 3,566 loans in total is backed by a mix of
primarily residential, commercial real estate and development
land. APS Romania will be appointed as master servicer.
"The portfolio is backed by a wide variety of real estate
assets, requiring a range of resolution strategies," said
Justin Sulgar, head of credit opportunities at AnaCap.
Under terms of the agreement, funds advised by AnaCap will
jointly acquire the entire portfolio with HIG and Deutsche
The transaction is the largest of its kind in Romania to date,
and came about as a result of the ongoing pressure on financial
institutions across Europe to restructure in order to
comply with new capital requirements.
After a prolonged correction following the financial crisis,
the property market in Romania is now showing strong signs of
GDP and unemployment have recovered on the back of labour
market reforms in 2011 and an IMF financing package.
House prices, which declined 38% since their peak in 2008, are
now on the rise, with the areas surrounding central Bucharest
and other main cities increasing 4% in 2013.