White & Case Advises Intrum on €4.9 billion and €1.92 billion NPL Securitization of Piraeus Bank
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Global law firm White & Case LLP has advised Intrum AB (Intrum) on two securitization transactions involving non-performing loan portfolios of Piraeus Bank, the largest bank in Greece, with a gross book value of approximately €4.9 billion for the Project Vega portfolio and approximately €1.92 billion for the Project Phoenix portfolio.
"These transactions are part of a broader long-term strategic partnership between Intrum and Piraeus Bank that started with the sale and hive down by Piraeus Bank of its Recovery Banking Unit to Intrum and the initial disposal of this portfolio of non-performing loans through the issuance of a retained securitization," said White & Case partner Dennis Heuer, who co-led the Firm's deal team. "We have advised our client Intrum from the beginning of this journey and the Vega and Phoenix securitizations mark a new important milestone for this successful partnership."
The Vega securitization portfolio held by Vega I NPL Finance DAC, Vega II NPL Finance DAC and Vega III NPL Finance DAC, consists of non-performing loans secured by both residential and commercial real estate; and the Phoenix securitization portfolio held by Phoenix NPL Finance DAC, consists mainly of residential mortgage non-performing loans. The rated Class A Notes of the Vega transaction in the amount of approximately €1.4 billion and of the Phoenix transaction in the amount of approximately €0.95 billion, will have the benefit of a guarantee issued by the Greek government under the Hellenic Asset Protection Scheme (HAPS). The Ministry of Finance of the Hellenic Republic has already issued its decision approving the grant of the HAPS guarantee with respect to the senior notes for each of the two transactions.
Piraeus and Intrum have agreed that Intrum Hellas will act as servicer of both the Vega and Phoenix portfolios, and Intrum AB has purchased approximately 30 percent of the mezzanine notes for each of the Vega and Phoenix securitizations.
The White & Case team that advised on the transactions was led by partners Dennis Heuer (Frankfurt) and Henrik Wireklint (Stockholm), and included counsel Claudio Medeossi (Dubai & London), associate Alex Kreibich and transaction lawyer Reetu Vishwakarma (both Frankfurt).
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