Lloyds sells Irish mortgage book to Barclays for 4 billion poundsStaff Writer | Friday May 18, 2018 7:13AM ET
Acquisition The deal would generate a pretax loss of around 110 million pounds
Lloyds Banking Group said it had sold its Irish residential mortgage portfolio to Barclays for around 4 billion pounds ($5.4 billion) in cash.
READ MOREThe deal covers gross assets of around 4.3 billion pounds, of which 300 million pounds are impaired, Lloyds said in a statement, and in the year to end-December they generated a pretax loss of around 40 million pounds.
Lloyds said the deal would generate a pretax loss of around 110 million pounds, which would be recognized in its first-half results, but that it would also result in a better-than-expected increase in common equity tier 1 of around 25 basis points.
Following the deal, which is due to complete in the second half of 2018, Lloyds said it would have only a minimal exposure to Ireland, and the total outstanding run-off portfolio would be around 4 billion pounds.
What to read next