Spain's Banco Popular in talks with Libra Group for possible asset sale: report

[MADRID] The new head of Spain's Banco Popular, Emilio Saracho, is in talks to sell the lender's property portfolio and also a stake to Libra Group, online newspaper El Confidencial reported on Tuesday.

The talks with the Greek conglomerate, which has its origins in shipping, are at an advanced stage, the paper said, citing unidentified sources close to the bank. Libra could invest at least between 350 million euros (S$530.03 million) and 400 million euros in cash, it said.

Banco Popular declined to comment while a Libra Group spokesman said the company wouldn't comment on market rumours.

Popular, considered a weak link in Spanish banking due to its high exposure to troubled real estate assets, posted a record 3.5 billion euro loss in 2016 while soured property loans eroded the bank's capital position.

REUTERS