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American Bacoist Bank sells a portfolio of real estate loans worth $ 2.6 billion

 Backwest Bank has agreed to sell its portfolio of 74 real estate loans worth $2.6 billion to a unit of real estate investment firm Kennedy Wilson.

The regional bank said in a disclosure to financial regulators on Monday that Kennedy Wilson or his representative will assume the remaining future financing obligations for the loans.

Backoist is awaiting further approvals to sell six more loans, with a total balance of about $363 million, to Kennedy Wilson.

As part of the underlying transaction, Kennedy Wilson will deposit $20 million into a third-party escrow account that can be redeemed until the transaction is completed, which is expected between the end of the second quarter and the beginning of the third.

Baquist, who has been under pressure during the recent US banking turmoil, said the sale was part of his strategy to focus on his core community banking business.

During pre-session trading on the New York Stock Exchange, "Bacquest" shares rose by 3.85% to $5.95, at exactly 02:56 pm Mecca time, but it is still down by more than 75% since the beginning of the year.


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