Alpha in talks with five US firms on NPL package

in talks with at least five US investment firms including Cerberus and PIMCO in a fresh attempt to offload a portfolio of bad debt worth more than 10 billion euros, two sources told Reuters. The portfolio, known as Galaxy, consists of retail loans worth €7.6 billion plus loans to medium-sized and large corporate clients worth €3 billion, the first source said. Alpha, Greece’s fourth largest bank, could earn €400 million to €500 million from the sale, the second source said. Alpha launched the process, which includes the sale of loan servicing platform Cepal, early this year but halted negotiations as the coronavirus crisis struck. It has asked bidders to submit tentative offers by June 29, the second source said. Bain Capital Credit and Apollo are looking to join the race, alongside US investment firm Centerbridge, which recently agreed to sell its 60% stake in Cepal to Alpha, the sources said. The sale is the most significant attempt by a Greek bank to clean up its balance sheet since the coronavirus crisis forced lenders to put transaction plans on hold.