Bank of Ireland sells loans to Aviva
Aviva Special PFI LP, an investment vehicle established and managed by Aviva Investors, picked up the Bank of Ireland loans for a price of 81 per cent of these commitments.
In a stock exchange announcement this morning (13 June), Bank of Ireland stated the cash proceeds from this loan portfolio sale will further reduce the lender’s funding requirements, in line with the deleveraging plans.
On 24 April 2012, the Bank announced it had completed or contracted divestments amounting to €9.5bn (£7.6bn), at an average discount of 7.6 per cent.
On the basis of the sale announced today (13 June) and other deleveraging initiatives in progress, the Bank expects it will be able to complete its target of €10bn (£8.04bn) of divestments within the overall base case assumptions used as part of the 2011 prudential capital assessment review.