Cabot buys €200m of debt from Cerberus

Deal, which would have seen the debt trade at a significant discount to face value, was closed in recent weeks

Pictured at the announcement of Cabot Financial Ireland's acquisition of a division of XRS are (L-R) Sean Webb, CEO of Cabot Financial Ireland; David Brady, Commercial Director of Cabot Financial Ireland; and Pat Kelly, Managing Director of XRS

The distressed debt fund Cabot Financial has closed a deal with vulture fund Cerberus for €200 million worth of toxic loans.

It is understood that the deal, which would have seen the debt trade at a significant discount to face value, was closed in recent weeks.

The loans, which Cerberus acquired in a range of transactions in recent years from Ulster Bank, are composed of seriously impaired property loans – so-called "tails and ...