Alantra advises ABANCA on the sale of a sub-performing and re-performing secured mortgage portfolio to an American investment fund

Dec 2023

Sell-side advisory - Performing and Reperforming Mortgages

Madrid – Alantra, a leading global investment bank and asset management firm has advised ABANCA Corporación Bancaria, S.A. (“Abanca”), the seventh largest Spanish bank by volume of assets, on the sale of a Sub-performing and Re-performing secured mortgage Portfolio (the “Portfolio” or “Project Xallas”) with a total principal balance of c. € 80M to an American Investment Fund. The transaction took place in Q4 2023.

The Portfolio is primarily composed of individuals (90%) and backed by residential assets (93%) with a significant geographical concentration in the Galician region. The sale was structured as an issuance of mortgage participations (CTH and PH), where Abanca remains as primary servicer.

The transaction represents a key milestone in the Spanish secured Reperforming (“RPL”) space and follows Abanca’s strategic disposal plan whereby Project Xallas is the forth SPL/RPL transaction that Abanca has closed since 2020. Alantra consolidates its position as financial advisor in the SPL/RPL space, and particularly as lead advisor in Abanca’s SPL/RPL divestment processes.

Joel Grau, Managing Partner & CEO of Alantra FIG commented: “We are proud to have played a pivotal role in Abanca’s successful divestment strategy, contributing to the continued growth and stability of both our client and the broader SPL/RPL space”.