(Alliance News) - Banca Popolare di Sondrio Scpa on Thursday announced that it has concluded -- together with 12 other participating institutions -- the multi-originator securitization transaction of non-performing loans called "LUZZATTI POP NPLS 2023," with a total gross book value of EUR313 million.

Specifically, the institution sold, with economic effect from January 1, 2023, a portfolio of non-performing loans with a gross value of EUR173.7 million to the securitization vehicle named "Luzzatti POP NPLS 2023 Srl," which, in turn, issued, with respect to Banca Popolare di Sondrio, three tranches of ABS notes totaling EUR57.13 million, or 32.88% of the gross value of the loans sold.

Of these, a senior tranche amounting to EUR48 million, corresponding to 27.85% of the gross value of the assigned receivables, was assigned ratings of BBB+ and BBB by the agencies ARC Ratings and Morningstar DBRS, respectively, as well as a mezzanine tranche amounting to EUR6.86 million, corresponding to 3.95% of the gross value

of the assigned receivables.

Finally, a junior tranche amounting to EUR1.87 million, corresponding to 1.08 percent of the gross value of the assigned receivables.

"In order to achieve deconsolidation of the assigned receivables, in accordance with the applicable industry regulations, 95 percent of the mezzanine and junior tranches, respectively, were successfully placed with institutional investors. The Bank will, therefore, be able to achieve derecognition of the portfolio of transferred non-performing loans," the corporate note specifies.

Banca Popolare di Sondrio on Thursday trades in the green by 0.7 percent at EUR5.78 per share.

By Maurizio Carta, Alliance News reporter

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