RBS shrinks Irish arm with sale of £4.8b property debt

London

ROYAL Bank of Scotland (RBS) has sold £4.8 billion (S$9.85 billion) of Irish property loans to US private equity firm Cerberus, shedding a big chunk of problem loans under its plan to shrink its business in Ireland.

Cerberus made a second big bet on Tuesday on a recovery in United Kingdom and Irish property when it also bought a £1.2 billion portfolio of mostly non-performing commercial property loans from National Australia Bank (NAB).