Australian investment bank Macquarie Group said on Monday that it has signed an agreement to sell its portfolio of Italian mortgages worth $A2 bn (EUR 1.1bn). The transaction is expected to complete by 31 October 2008, it added.
Australian investment bank Macquarie Group said on Monday that it has signed an agreement to sell its portfolio of Italian mortgages worth $A2 bn (EUR 1.1bn). The transaction is expected to complete by 31 October 2008, it added.
The disposal follows the group's announcement in March of this year that it would wind back its Australian residential mortgage business due to the impact of increased funding costs. Before the increase in funding costs, the mortgage businesses contributed less than 1% of Macquarie's profit.
As a result of the sale, Macquarie will book a net after tax charge of $A70 mln reflecting the write-off of loan acquisition costs and the loss on the sale of the portfolio.
