Bank of Cyprus received yesterday the approval by the European Central Bank in relation to the sale of a non-performing loan portfolio, known as Helix.
According to the announcement of the Bank on the Cyprus Stock Exchange, this approval is an important step towards the completion of the transaction.
The transaction for the sale of loans to Apollo Asset Management is expected to be completed at the beginning of the second quarter of 2019. As already announced, the Transaction reduces the Group's non-performing loans by € 2.7 billion and improves the NPL ratio to the total of loans from 47% to 36%.
The Bank notes that the completion of the transaction will have a positive impact on the capital ratios by approximately 160 basis points due to the reduction in risk weighted assets.