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Attica Bank enters into a definitive agreement with Davidson Kempner for the disposal of two portfolios of non-performing exposures (Domus & Rhodium)

Published in:

12 November, 2024

Attica Bank (hereinafter “the Bank”) announces that it has entered into a definitive agreement with an entity advised by Davidson Kempner Capital Management LP for the sale of 95% of the mezzanine and junior notes of two securitisations backed by two portfolios of non-performing exposures (“NPEs”) with a total gross book value of c.€3.7 bn. Attica Bank will retain 100% of the senior notes, utilizing the provisions of the Hellenic Asset Protection Scheme, and 5% of the mezzanine and junior notes. The transaction is being implemented in the context of the Bank’s NPE deleveraging strategy and the investment agreement signed between the shareholders on 18.07.2024, ratified by L.5127/2024.

The total proceeds for Attica Bank reflect the senior notes and the consideration for the mezzanine and junior notes, corresponding to c.35% of the total gross book value of the Domus and Rhodium portfolios. Following the completion of the transaction, Attica Bank is expected to have an NPE ratio of less than 3%. The transaction is expected to be completed during Q4 2024, subject to customary approvals.

UBS Europe SE is acting as financial advisor, while Milbank LLP, Hogan Lovells LLP and Potamitis-Vekris as international and local legal counsels to the Bank, respectively.

Davidson Kempner Capital Management LP is a global investment management firm with over 40 years of experience and a focus on fundamental investing with a multi-strategy approach. Davidson Kempner has approximately $37 billion in assets under management and over 500 employees across seven offices: New York, Philadelphia, London, Dublin, Hong Kong, Shenzhen and Mumbai. Additional information is available at: www.davidsonkempner.com. Davidson Kempner Capital Management DKMedia@dkp.com