Investor Presentaiton
Group Financial Results for the six months ended 30 June 2020
€0.9 bn NPE sale agreed, reducing NPE ratio to 22%¹
Helix 2
Agreement for the sale of €886 mn NPEs
Completion expected in 1H2021
Gross consideration of 46% of gross book value and 29% of
contractual balance³, payable in cash, of which 65% is deferred
and paid in instalments over 48 months from completion,
without any conditions attached
The consideration can be increased through an earnout
arrangement, depending on the performance of the Helix 2
portfolio
NPEs reduced by 26% to €2.6 bn¹
NPE ratio reduced by 6 p.p. to 22%¹
Net NPEs reduced to €1.1 bn¹ (-89%1 since peak)
Loss of €68 mn recorded in 1H2020
-36 bps CET1 capital impact at completion
+10 bps CET1 capital impact upon full payment of deferred
consideration
(1) Calculations on a pro forma basis assume completion of the transaction
(2) Allowing for IFRS 9 transitional arrangements
(3) As at 30 September 2019
(4) Deferred Purchase Price
Bank of Cyprus Holdings
26% NPE reduction
6 p.p. reduction in NPE ratio
NPES (€ bn)
NPE ratio
-26%
3.5
2.6
-6 p.p.
28%
22%
Jun 2020
Jun 2020
pro forma
Jun 2020
for Helix 2¹
Jun 2020
pro forma
for Helix 21
CET1 ratio at 14.4% 2 pro forma for Helix 21
14.3%
14.3%
14.4%
14.9%
Total CET1 impact +10 bps:
Mar 2020
Jun 2020
Jun 2020
pro forma
for Helix 21
Jun 2020
post DPP4
payment
-48 bps already included in 2Q2020
+12 bps on completion
+46 bps upon full payment of deferred
consideration
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