REG - Bank of Cyprus Hldgs - Completion of Project Helix 3

Bank of Cyprus HoldingsAnnouncement

18/11/2022 10:30

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RNS Number : 9295G  Bank of Cyprus Holdings PLC  18 November 2022

Announcement

 

Completion of Project Helix 3 - Sale of non-performing loans

 

Nicosia, 18 November 2022

 

 

 

Bank of Cyprus Holdings Public Limited Company ("BOC Holdings" and, together
with its subsidiaries, the "Group") is pleased to announce the completion of
Project Helix 3.

 

Project Helix 3 (the "Transaction") refers to the sale of a portfolio of loans
with a gross book value of €555 mn(1) (of which €551 mn(1) relate to
non-performing exposures), as well as real estate properties with a book value
of €88 mn(1) to funds managed by Pacific Investment Management Company LLC,
the agreement for which was announced on 15 November 2021.

 

Cash consideration of c.€350 mn was received by completion, reflecting
adjustments resulting from, inter alia, loan repayments received on the
Portfolio since the reference date of 31 May 2021.

 

Overall, the Transaction is capital accretive, with a net positive impact on
the Group capital ratios of c.50 bps(1). As at 30 September 2022, the Group's
CET1 ratio and total capital ratio stood at 14.7% and 19.8% respectively, both
pro forma for Helix 3.

 

The Transaction represents a further milestone in the delivery of one of the
Group's strategic priorities of improving asset quality through the reduction
of NPEs. Project Helix 3 reduces the NPE ratio by 5 percentage points(1) from
9.3%(1) to 4.5%(1) (pro forma for Helix 3), delivering early the 2022 NPE
ratio target of c.5%.

 

Overall, since the peak in 2014 and pro forma for Helix 3, the stock of NPEs
has been reduced by €14.5 bn(1) or 97%(1) and the NPE ratio by over 58
percentage points(1), from 63% to less than 5%(1), on the same basis.

 

For further information, please contact Investor Relations at
investors@bankofcyprus.com (mailto:investors@bankofcyprus.com) .

 

( )

(1) Based on the Group Financial results for the nine months ended 30
September 2022

 

 

 

Group Profile

 

The Bank of Cyprus Group is the leading banking and financial services group
in Cyprus, providing a wide range of financial products and services which
include retail and commercial banking, finance, factoring, investment banking,
brokerage, fund management, private banking, life and general insurance. At 30
September 2022, the Bank of Cyprus Group operated through a total of 64
branches in Cyprus, of which 4 operated as cash offices. The Bank of Cyprus
Group employed 2,955 staff worldwide. At 30 September 2022, the Group's Total
assets amounted to €26.2 bn and Total equity was €2.0 bn. The Bank of
Cyprus Group comprises Bank of Cyprus Holdings Public Limited Company, its
subsidiary Bank of Cyprus Public Company Limited and its subsidiaries.

 

 

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