Market Chatter: Banco Santander, BBVA, Deutsche Bank Working on Several Significant Risk Transfer Deals

MT Newswires Live
Yesterday

Banco Santander (SAN), BBVA (BBVA) and Deutsche Bank (DB) are working on several significant risk transfer, or SRT, deals, Bloomberg reported Monday, quoting unidentified sources.

The European banking giants are lining up deals to offload default risk linked to at least $17.5 billion in loans to companies in several sectors, the report said.

Santander is discussing five SRT deals on portfolios that include commercial real estate loans originated by its UK unit, and also financings to small- and mid-size companies in Brazil, the report said.

BBVA is working on an SRT deal linked to 5 billion euros ($5.8 billion) of corporate loans and is also in talks for a deal related to loans to smaller firms, the report said.

Deutsche has started the planned sale of an SRT deal to hedge $4 billion of large corporate loans, the report said.

Santander, BBVA and Deutsche didn't immediately respond to requests for comment by MT Newswires.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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