Debt Purchase Suncorp sells non-core portfolio to Goldman Sachs Group

Thursday, June 27, 2013 - Posted by Philip Harvey

Suncorp recently announced it sold a $1.6 billion portfolio of corporate and property assets for 60 cents in the dollar to Goldman Scahs Group as a move to "de-risk" the Suncorp group. The portfolio was established after the GFC and consisted of the former Corporate Banking, Property Investment, Development Finance and Lease Finance divisions. It was part of a "run-off strategy" of the Group to reduce risk and increase shareholder value.

It is difficult to ascertain how many accounts are secured and paying from the Groups announcement. Given the debt purchase price of 60 cents in the dollar, there is reason to believe the accounts are reasonably well secured.

Sourced from Suncorp (www.suncorpgroup.com.au/media June 2013)