Garanti BBVA (GARAN), a unit of BBVA (Madrid/BBVA), has sold a Turkish lira (TRY) 1.29bn ($47mn) portfolio of non-performing loans (NPLs) for a consideration of TRY 492mn at a recovery rate of 38%, the lender said on September 25.
Ortak Varlik Yonetim (OVY) bought NPLs worth TRY 531mn for a consideration of TRY 211mn while Dunya Varlik Yonetim bought a TRY 531mn package for TRY 216mn and Sumer Varlik Yonetim took the remaining TRY 231mn of NPLs for TRY 65mn.
In line with local peers, Garanti, the fifth largest bank in Turkey with Turkish lira (TRY) 1.7 trillion ($61bn) worth of total assets at end-March, has a B-/Stable (one notch below Turkey’s sovereign rating and six notches below investment grade) from Fitch Ratings and a B3/Stable (six notches below investment grade in line with Turkey’s sovereign rating) from Moody’s Investors Service.
|Major NPL sales by Turkish lenders|
|Sep-23||QNB Finansbank (QNBFB)||908||-||-||Ortak, Dunya, Emir|
|Sep-23||Garanti (GARAN)||1,293||492||38%||Ortak, Dunya, Sumer|
|Jun-23||Yapi Kredi (YKBNK)||1,070||334||31%||Birlesim, Dunya, Gelecek (GLCVY), Sumer|
|Jan-23||Denizbank||604||-||-||Ortak, Birlesim, Emir, Hedef, Dogru, Birlesim, Gelecek (GLCVY)|
|Dec-22||Garanti (GARAN)||691||164||24%||Gelecek (GLCVY), Dunya|
|Sep-22||Yapi Kredi (YKBNK)||565||113||20%||Emir, Denge, Efes, Hedef|
|Jun-22||Garanti (GARAN)||433||100||23%||Dunya, Birikim (BRKVY)|
|Apr-22||Yapi Kredi (YKBNK)||1,324||205||15%||Gelecek (GLCVY), Ilke, Birlesim, Dunya, Ortak, Arsan, Diriker|
|Apr-22||Akbank (AKBNK)||1,531||181||12%||Birikim (BRKVY), Ortak, Met-Ay, Denge|
Table: Major NPL sales by Turkish lenders.
|Turkey Banking Industry: Problem Loans|
|TRYbn||Stage 3-4-5||Stage 2||(In Stage 2)||2+3+4+5||Equity||Stage 1||Loans||Ratio||Ratio||Ratio|
Turkey received the worst rating, “critically insufficient”, for all climate crisis goals in an evaluation by Climate Action Tracker, an independent scientific analysis site that made an ... more
Beijing-based Asian ... more