BBVA closes deal to sell property assets to Cerberus in EUR 5bn - EUR 6bn deal – report (translated)
28 NOV 2017
Banco Bilbao Vizcaya Argentaria [BME:BBVA] (BBVA) has closed a deal with US fund Cerberus to sell a majority of its property assets for EUR 5bn - EUR 6bn, Vozpopuli reported, citing financial sources. BBVA will receive EUR 3.5bn - EUR 4bn for a majority stake in a new entity to be controlled by Cerberus, the online Spanish-language report said.
Financial sources valued the property assets for sale, comprising about 70,000 properties with discounts close to 60%, at EUR 13bn - EUR 14bn.
The parties declined to comment, Vozpopuli said.
It was previously reported that, as of September, BBVA’s real estate assets in Spain had a gross valuation of EUR 17.774bn and were covered at 56%. Since the end of 2016, BBVA has reduced its real estate assets by 23.3%.