x

Economy

NY Money Manager Set to Buy Bank of Cyprus Bad Loans

August 23, 2018

New York City-based Apollo Global Management is in line to buy some 3 billion euros ($3.47 billion) in bad loans from the Bank of Cyprus, more than five years after an economic crisis triggered by the country’s banks weighed down by Greek companies not repaying loans and taking big losses in their holdings of Greek bonds that were devalued 74 percent.

Bank of Cyprus and Apollo are in talks in London to finalize details of the sale, the financial news agency Bloomberg said, citing sources it didn’t identify.

The government and officials from the European Union, which took part in a 2013 bailout of 10 billion euros ($11.56 billion) to prop up an economy on the edge of going under and save the banks, want the bad loans written down, including through selling them to other companies to hunt debtors, many of whom said they can’t repay because of austerity measures that came with the rescue packages.

President Nicos Anastasiades, reneging on campaign promises, authorized the confiscation of 47.5 percent of bank accounts over 100,000 euros ($115,650), hitting not only the wealthy but also the life savings of some people and small businesses.

He did not fulfill a promise to hold accountable any bank managers or other officials even though the Laiki Bank failed and many depositors were wiped out. Nor has he made good on a promise to help restore some of the losses to them while the country is recovering on the back of successive record tourism years.

Despite the comeback, Cypriot banks are still weighed down with bad loans they’re looking to sell off to take losses and get them off their books.

Bank of Cyprus reported some progress in its first-quarter earnings, saying it had reduced bad-loan exposure for a 12th consecutive quarter.

RELATED

NICOSIA - Seven countries including Greece, the US, France, Italy and Israel have taken part in a series of drills in and around Cyprus designed to ease civilian evacuations from conflict zones and to conduct offshore rescue operations, amid a renewed sense of urgency due to the war in Ukraine.

Top Stories

General News

FALMOUTH, MA – The police in Falmouth have identified the victim in an accident involving a car plunging into the ocean on February 20, NBC10 Boston reported.

General News

NEW YORK – Meropi Kyriacou, the new Principal of The Cathedral School in Manhattan, was honored as The National Herald’s Educator of the Year.

General News

PHILADELPHIA – The Federation of Hellenic Societies of Philadelphia and Greater Delaware Valley announced that the Evzones, the Presidential Guard of Greece will be participating in the Philadelphia Greek Independence Day Parade on March 20.

Video

Mission…to Amyntaio, a TNH Documentary by Clelia Charissis

Dear readers, let me briefly introduce myself, while wishing you "a summer full of positive energy and good health.

Enter your email address to subscribe

Provide your email address to subscribe. For e.g. abc@xyz.com

You may unsubscribe at any time using the link in our newsletter.