Alantra advises Abanca on the sale of a €60mn mortgage re-performing loan portfolio

Oct 2024

Sell-side advisory

Value €60mn

Madrid – Alantra has advised ABANCA Corporación Bancaria, S.A., the seventh-largest Spanish bank by volume of assets, on the sale of a mortgage re-performing loan portfolio with a total balance of c.€60mn to an American investment fund.

The portfolio is composed of re-performing mortgage loans granted to individuals and backed by residential properties scattered across Spain, with a high concentration in the northwestern region. The sale structure used involves an issuance of mortgage certificates (CTH/PH) whereby the seller retains servicing of the performing loans, and a special servicer enters the management after the loans have reached arrears.

Félix Rivera, Partner at Alantra FIG, said: “This transaction marks a successful disposal by Abanca in a market where the appetite for this asset class continues to grow. It also represents a key milestone for our relationship, being the fifth re-performing portfolio that Alantra has advised Abanca on.”

The transaction represents a continuation of the previous Project Xallas, a €90mn re-performing loan portfolio from Abanca and consolidates the bank as the main actor in the Spanish re-performing space with five closed transactions in the past four years.