Sale of IBRC's 'Rock & Salt' property portfolio completed

Wednesday 26 February 2014 17.09
Projects Rock and Salt portfolios sold by IBRC's Special Liquidators
Projects Rock and Salt portfolios sold by IBRC's Special Liquidators

The Special Liquidators of IBRC have said that the sales process for the bank's "Projects Rock and Salt" portfolio has been completed. 

The portfolio is comprised of mostly commercial property loans which were written through the UK branch and UK subsidiary companies of IBRC. They had a combined book value of about €7 billion. 

Successful bidders for the loans included Lone Star Real Estate Fund III and a Sankaty Advisors, LLC/Canyon Capital Advisors LLC consortium. 

A spokesman for the Special Liquidators said that they were very pleased with the successful conclusion of loan sales in respect of three major portfolios of IBRC loans - Rock, Salt and Evergreen.

"Thus far, market interest in IBRC's assets has been confirmed with the conclusion of sales at bid levels that exceed independent valuations conducted on these books. The sales process is continuing on the remaining books according to the programme previously set out by the Special Liquidators," he added.

Finance Minister Michael Noonan has welcomed the sale of the latest IBRC loan books. 

"The sale of this entire portfolio on top of the success of the Project Evergreen sale late last year will considerably reduce the amount of assets that are now expected to transfer to NAMA and bodes well for the ultimate success of the liquidation," the Minister said. 

"The sales processes for the remaining portfolios in IBRC are on-going and are expected to be concluded in early 2014," he added,

IBRC's Special Liquidators are also in the process of selling other loans books, including the Project Sand book, the Project Stone book and the Project Pebble book. These had original book values of  €1.8 billion, €9.3 billion and €800m respectively.