Axactor SE

Regulatory Filings • Nov 1, 2017

Axactor closed first transaction in partnership with Geveran Trading Co. Ltd.

Axactor closed first transaction in partnership with Geveran Trading Co. Ltd.

Axactor has reach an agreement with one of the leading financial

institutions to execute a large primary transaction in Spain. The

portfolio can be split into 3 distinct segments, one is composed

of unsecured NPL's with an outstanding balance of close to EUR300m

across more than 11.000 cases. The second segment contains in

excess of EUR94m in secured NPL's across circa 150 cases and

finally the third segment contains roughly 450 Real Estate Owned

assets with an Appraisal Value of around EUR40m. This combined

transaction will be one of the largest portfolios acquired by

Axactor and is of a similar size to the acquisition made in Sweden

earlier in the year.

This agreement will allow Axactor to reinforce its position in the

Spanish NPL's market and elevate its presence in the large and

growing REO's market, where the existing business in Spain already

has some of the competencies required to manage large volumes both

on its own portfolios as well as for third party clients. The

diversification is expected to offer significant opportunities

given the continued trend in portfolio sales including a variety

of asset classes, both when Axactor is investing on its own or as

part of a co-investment, where including secured assets will make

certain investments more attractive.

"The addition of this portfolio will be significant for Axactor

since the composition of the portfolio will allow Axactor to

increase its presence in REO's market while reinforcing Axactor

position in NPLs market. This level of diversification will allow

the business to maintain the focus on delivering healthy margins

through access to a much broader number of opportunities coming to

market over the coming years. ", says Endre Rangnes, CEO Axactor.

"The Axactor team in Spain is delighted to close this agreement,

demonstrating clearly the determination of the team to develop the

business across all NPL segments..", says Andrés López and David

Martín, General Managers of Axactor Spain.

This transaction will be funded from existing cash and credit

lines.

For additional information, please contact:

Endre Rangnes, CEO Axactor

Mobile phone: +47 4822 1111

Email: endre.rangnes@axactor.com

or

Geir Johansen, CFO & Investor Relations, Axactor

Mobile phone: +47 4771 0451

Email: geir.johansen@axactor.com

www.axactor.com

About Axactor

Axactor Group specializes in both Debt Collection and Debt

Purchasing across several countries, with operations in Italy,

Germany, Norway, Sweden and Spain. The company has a Nordic base

and an ambitious Pan-European growth strategy, which targets the

market for non-performing loans (NPL) in Europe. This market is

estimated to be about 1,500 billion euros across Europe providing

significant opportunities for Axactor's future expansion. Axactor

has approximately 900 employees.