Friday April 3, 2020

Permanent TSB lines up Cerberus for UK buy-to-let sale, sources say

The US private equity group has emerged as a frontrunner for the portfolio, a report says

5th October, 2016
Permanent TSB's annual meeting

Permanent TSB is nearing an agreement to sell the remainder of its Capital Home Loans (CHL) mortgage portfolio to Cerberus Capital Management, Reuters has reported, citing three people with knowledge of the situation.

The US private equity group is believed to have been selected as a preferred bidder for the mostly buy-to-let British mortgage book, which totals about £2.5 billion. While the sale is not yet finalised, Reuters said Cerberus is understood to have emerged as a frontrunner for the portfolio.

In March 2015, Cerberus bought the other half of the CHL's assets, which totalled £2.5 billion. The group also bought the legal CHL entity as part of the transaction.

PTSB was originally aiming to sell the rest of the loan book by the middle of this year under the terms of a deleveraging programme agreed with the European Commission but the UK decision to leave the European Union in the June referendum created uncertainty around the sale.

Related Stories

Permanent TSB launches new current account that pays customers to use it

Permanent TSB reports first after-tax profit since 2007

Related Stories

Every time Donald Trump spoke on the Covid-19 crisis last week, the stock markets plunged by another point

Marion McKeone | 2 weeks ago

Big tech firms pledge to pay contract staff through the social-distancing period

Emmet Ryan | 2 weeks ago

Further action may be needed to prevent the Irish economy being sunk, particularly when the global economy remains vulnerable

Ian Guider | 2 weeks ago