Alpha Bank seals deal to sell bad debt portfolio

ATHENS (Reuters) – Alpha Bank , Greece’s fourth-largest lender, has agreed to sell a portfolio of bad loans worth 1.1 billion euros to Poseidon Financial Investor DAC, an entity financed by funds managed by U.S. investment manager Fortress Group affiliates, it said on Wednesday.

Three sources familiar with the matter told Reuters last month that Alpha Bank was close to finalising the deal.

The sale is part of Alpha’s efforts to offload bad debt and clean up its balance sheet as Greek banks revive plans to divest non-performing loans after the disruption caused by the coronavirus outbreak.

The transaction is likely to conclude in this quarter, Alpha Bank said.

(Reporting by Angeliki Koutantou; Editing by Kevin Liffey)