Skipton Building Society’s £250m loan portfolio ‘up for sale’
Skipton Building Society is understood to have put a £250m portfolio of mortgage loans up for sale.
Britain’s fourth biggest building society is thought to have hired investment bankers at Morgan Stanley to assess prospective buyers’ appetite for the loan book, Sky News reported.
The sale process is already under way and mainly relates to a non-performing portfolio under the Amber Homeloans brand, it is understood.
The Skipton, which also owns the Connells estate agency brand, is one of the UK’s biggest financial mutuals, with more than 850,000 customers.
In July, the Skipton reported total income of £327m for the six months to June 30 2016, compared to £305m the previous year, while pre-tax profit increased from £72m to £76.8m.
In the wake of the Brexit vote, CEO David Cutter said that the decision to leave the EU made forecasting conditions “more difficult”, in particular any movements in Bank Base Rate and any impact on housing transactions and house prices which impacts the mortgages and savings division and Connells.
TheBusinessDesk.com has contacted Skipton Building Society for comment.
