Société Générale has pushed the deadline for second-round bids on its €500m (£414.8m) property loan portfolio sales back by three weeks.
Second-round submissions from bidders, thought to include Lone Star, Blackstone and Deutsche Bank, were scheduled to come in by the end of January but are now due on 24 February.
It is understood the delay has come up because some assets in the portfolio of predominantly French and German loans are being bid on separately, outside the process.
The sale of any loans from the portfolio would cause enough of a change in the pool to warrant the delay. These sales often occur in portfolio sales of properties and loans, altering the size of the final package.
In Lloyds Banking Group’s sale of receivership properties in the Flagstaff portfolio, a number of loans dropped out of the package, which was eventually offloaded to William Pears Group subsidiary Telereal Trillium
In the case of Lloyds’ sale of the Project Royal portfolio to Lone Star, a number of loans were repaid, reducing the par value of the package by £100m to £900m.
A handful of parties are in the running for the SocGen portfolio which, alongside the European debt, includes some Canadian loans and some US corporate loans, linked to property companies.
The pool does not contain any performing loans, only sub-performing, which have LTV breaches, and many defaulted loans.
