Kennedy Wilson Buying Portfolio from Bank of Ireland

Kennedy Wilson Holdings Inc., an international real estate investment and services company, said it and its institutional partners have agreed to buy a loan portfolio from Bank of Ireland for $1.8 billion, Reuters reported Monday. In July this year, the Irish government halved its stake in Bank of Ireland. Canada’s Fairfax Financial Holdings, buyout firm WL Ross & Co., Fidelity Investments, investment firm The Capital Group and Kennedy Wilson were named as the investors by Bank of Ireland, Reuters wrote.

(Reuters) – Kennedy Wilson Holdings Inc., an international real estate investment and services company, said it and its institutional partners have agreed to buy a loan portfolio from Bank of Ireland for $1.8 billion.

Under the terms of the agreement, the purchase will close in two phases, with $1.4 billion being completed on Oct. 21 and the remaining $400 million by the end of next month.

The portfolio assets are secured by “high quality” London-based office, multifamily and retail properties, Kennedy Wilson said in a statement.

With the current buy, Kennedy Wilson’s assets under management will increase to $12 billion.

In July this year, the Irish government halved its stake in Bank of Ireland after a successful rights issue and a 1.1 billion euro ($1.58 billion) private investment allowed the government to avoid full nationalisation of the sector.

Canada’s Fairfax Financial Holdings , a Toronto-based insurer and investment company, Wilbur Ross’ New York buyout firm WL Ross & Co, Fidelity Investments, rival investment firm The Capital Group and Kennedy Wilson were named as the investors by Bank of Ireland.

Shares of Kennedy Wilson closed at $11.27 on Friday on the New York Stock Exchange.