A US fund is leading the way in dealing with Germany’s bad loan overload. Brian Caplen reports.

The great potential of German distressed debt may not be obvious to all but it is proving attractive to Lone Star, the US private equity fund that has purchased two-thirds of all the non-performing loans (NPLs) sold by German banks.

Yet with an estimated €300bn of bad loans in the German banking system and so far only €10bn sold, there is no danger of supplies evaporating.

The Banker's articles are exclusively available to registered users and full subscribers

Register for FREE limited access to global banking and finance coverage

Gain easy and instant access to:

  • 3 free views each month
  • Latest headlines and trends
  • Weekly e-newsletter
 

  

 

 

Already registered? Click here to sign in

Need more? An annual subscription to The Banker provides a wealth of banking and finance knowledge covering a wide range of countries, markets and profiles.
Click here to find out more.

 

By continuing to use this site you consent to the use of cookies on your device as described in our cookie policy unless you have disabled them. You can change your cookie settings at any time but parts of our site will not function correctly without them.