Northern Rock and B&B eyed by Spain’s Sabadell

Spanish bank Sabadell is considering making a bid for an €18 billion mortgage portfolio held by British nationalised banks Northern Rock and Bradford & Bingley, a source said on Monday. Sabadell is one of several potential bidders interested in the assets, the source said, confirming a report in financial newspaper Expansion.

The portfolio was put up for sale by Britain’s UK Asset Resolution, or bad bank, charged with winding down the assets of the two bailed-out UK lenders.

Interested parties may bid for all, or parts, of the portfolios, the source said.

Sabadell declined to comment.

The Spanish lender is the favourite to win the bid for the assets, Expansion said, citing unnamed financial sector sources. The portfolios comprise non-performing and performing mortgages.

– (Reuters)