Lloyds sells UK real estate loans to Cerberus

9th Dec 2013 07:49

Lloyds is to sell a portfolio of UK corporate real estate loans to American private-equity firm Cerberus European Investments.The sale, which is part of the bank's continued non-core asset reduction programme, is for a cash consideration of £90m.The gross assets are £147m and are being sold to Promotoria Holding, an entity affiliated with Cerberus. "The sale proceeds will be used for general corporate purposes and the transaction, although capital accretive, is not expected to have a material impact on the group," Lloyds said in a statement.The portfolio generated just £1m in profit during 2012.BC