National Bank: Frontier securitization tabled to Board

The board of directors of the National Bank is meeting late this afternoon and among the issues that will be discussed is the securitization of Frontier worth 6.1 billion euros.

The bank’s decision on the preferred investor, between doValue and Intrum who have submitted binding offers, has been delayed, as its management has chosen to study their proposals in detail.

Final stretch

However, information indicates that we have now entered the final stretch for decision-making by the National Bank and it is a matter of days, if not hours, for the relevant announcement.

It is noted that the Frontier project will change the balances in the asset management market , as whichever of the two companies acquires it, will gain a significant lead from the second in rank, in terms of under management non-performing exposures.

After all, it is important that the loans in the package are mostly mortgaged. Therefore, the risk for recoveries is lower compared to other transactions.