Breaking News
FONT-SIZE Plus   Neg
Share SHARE

FT: Blackstone To Take Control Of SocGen Property Loans

Private equity giant Blackstone Group, LP (BX: Quote) is set to take control of commercial property loans worth 100 million euros owned by French lender Societe Generale SA (SCGLY.PK,SCGLF.PK), the Financial Times reported Sunday.

According to the FT report, the deal is likely to close within weeks and would perhaps be the most significant sale by Societe Generale as it works to reduce its exposure to real estate. Societe Generale, like its peers across Europe, is trying to reduce its exposure to the real estate sector.

In mid-February, Societe Generale reported an 89 percent plunge in profit for the fourth quarter, weighed down by losses from its investment banking business. During the quarter, the company reduced its sovereign debt exposure to Greece, Italy, Ireland, Portugal and Spain - collectively called GIIPS countries - by nearly two-thirds.

On the other hand, Blackstone is seeking to grow its real estate business. In December 2011 Royal Bank of Scotland Group plc (RBS.L, RBS) signed a deal with Blackstone to manage a fund of 1.4 billion pounds of commercial real estate loans.

SCGLY.PK closed Friday's trading at $6.58, up $0.19 or 2.97 percent on a volume of 114,681 shares. BX closed trading at $15.30, down $0.04 or 0.26 percent on a volume of 4.08 million shares.

Register
To receive FREE breaking news email alerts for The Blackstone Group L.P. and others in your portfolio

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Editors Pick
This apparel maker has doubled its earnings per share in just two years and increased its annual earnings forecast from time to time, despite a challenging consumer spending environment. Contributions from acquisitions, efficiency gains from self-owned global supply chain and benefits from 'Innovate-to-Elevate' strategy continue to boost the company's results. Here is a quick summary of the earnings reported after the bell on Nov 20. We have 20+ stocks listed here. The good news is you can skip this step. There is a next move that can make your life a lot easier. Our research team has already done the groundwork for you. All these stocks listed... Design software maker Autodesk, Inc. said Thursday after the markets closed that its third quarter profit fell 81% from last year, as higher costs and expenses more than offset an 11% increase in revenue. However, the company's quarterly earnings per share, excluding items, came in above analysts' expectations as did its quarterly revenue.
comments powered by Disqus
FREE Newsletters, Analysis & Alerts

 

Stay informed with our FREE daily Newsletters and real-time breaking News Alerts. Sign up to receive the latest information on business news, health, technology, biotech, market analysis, currency trading and more.