Metro Bank buys £597m mortgage portfolio from Cerberus

Ryan Bembridge

June 2, 2017

Metro Bank has purchased a £597m mortgage portfolio from private investment firm Cerberus.

Around 92% of the UK loans are buy-to-let mortgages and the rest owner occupier, while Metro said they are of similar quality to its current book.

Craig Donaldson, chief executive of Metro Bank, said: “Our lending and deposit growth has gone from strength to strength and the acquisition of this high-quality loan portfolio supports our high-growth, organic business model.

“The portfolio complements our existing mortgage book and demonstrates our willingness and ability, helped by our strong deposit growth, to take advantage of opportunities as they arise.”

The mortgages in the book have a typical loan-to-value of 70%, while Metro said the acquisition was financed using its own money.

Enter your e-mail address to receive updates on this topic straight to your inbox

* indicates required
Send me news alerts on: