No Result
View All Result
  • Private Data
  • Membership options
  • Login
  • COUNTRY
    • ITALY
    • IBERIA
    • FRANCE
    • UK&IRELAND
    • BENELUX
    • DACH
    • SCANDINAVIA&BALTICS
  • PRIVATE EQUITY
  • VENTURE CAPITAL
  • PRIVATE DEBT
  • DISTRESSED ASSETS
  • REAL ESTATE
  • FINTECH
  • GREEN
  • PREMIUM
    • ItaHubHOT
      • ItaHub Legal
      • ItaHub Tax
      • ItaHub Trend
    • REPORT
    • INSIGHT VIEW
    • Private Data
Subscribe
  • COUNTRY
    • ITALY
    • IBERIA
    • FRANCE
    • UK&IRELAND
    • BENELUX
    • DACH
    • SCANDINAVIA&BALTICS
  • PRIVATE EQUITY
  • VENTURE CAPITAL
  • PRIVATE DEBT
  • DISTRESSED ASSETS
  • REAL ESTATE
  • FINTECH
  • GREEN
  • PREMIUM
    • ItaHubHOT
      • ItaHub Legal
      • ItaHub Tax
      • ItaHub Trend
    • REPORT
    • INSIGHT VIEW
    • Private Data
Home COUNTRY DACH

SmithNovak’s NPL Europe 2023: key takeaways from London conference

Debitosby Debitos
June 6, 2023
Reading Time: 3 mins read
in DACH, DISTRESSED ASSETS, IBERIA, PRIVATE DEBT, UK&IRELAND
Share on FacebookShare on Twitter

SmithNovak hosted market participants over two days at its annual European non-performing loan (NPL) conference to discuss the state of the market, macro and financial events.

The thought-provoking NPL Europe conference was held at Pullman London St Pancras over the 30-31 March. The Debitos team was fully represented with Timur Peters, Ulrich Sprenzel and Ioannis Sakarelis all appearing on separate panel discussions.

In this article, we will summarise our high-level thematic takeaways without referencing companies or individuals to adhere to confidentiality conventions.

 

Six months of market turbulence.

Strong macroeconomic headwinds have provoked challenging conditions for a number of industries which have influenced the outlook for NPLs.

After the collapse of three US regional banks within one week in mid-March, the deposit flight contagion risk which precipitated the forced rescue of Credit Suisse by UBS, stability and calm has returned to euro area banking sector.

 

Europe is in a very different place than the US.

Regulations in the EU are much tighter in the euro area smaller banks, with similar bank management failures to supervisory lapses much less likely. However, second-order effects form the UBS-CS shotgun marriage may exacerbate already tightened lending criteria for new loans and refinancing.

In the US, distress in the CMBS sector is weighing on office markets. A consistent increase of stage two loans – those in-between performing and non-performing over the course of the year.

 

No one expects a huge fresh NPL wave across the euro area.

Although a little insecurity remains, more likely is a gradual build-up of new vintage NPLs over the course of the year. Pace of loan sales could accelerate by the later stages of 2023. A concentration in NPL activity is expected to come from banks in Italy, Spain, Greece and Portugal in the second half of 2023. Deals will likely be smaller, more bespoke and thematic. Some bilateral deals could also emerge, as well as some smaller NPL activity is from Germany and the UK over the next six months.

 

Market anxieties are very different to the irresponsible lending practices prior to 2008 crisis.

They reflect uncertainties over hidden leverage in the system which has yet to come to the surface, due 15 years of ultra-low interest rates, and the accumulative impact of higher-for-longer interest rates, inflation and tight labour markets on euro area economies.

 

Investors and lenders remain vigilant for the possibility of further surprises.

Many suspect more market turbulence ahead. Higher borrowing costs will eventually weigh on investors ability to service debt in an environment of high inflation and weakening growth momentum. Higher debt costs will also effect performance of existing NPL and unlikely-to-pay (UtP) deals, which may affect prices and forward demand.

 

Real estate NPL investors are changing.

Market consists of fewer opportunistic funds, and a higher proportion of more patient capital, such as large family offices, which are interested in much longer business plans. Real estate investment markets have been quiet so far in 2023, but will pick up towards the end of the year

 

Technology solutions and digitalization are increasingly embraced.

Technology is adopted across deal preparation, marketing, due diligence, bidding and in post-deal closure servicing and business plan execution.

Read the orginal article: https://www.debitos.com/news/smithnovaks-npl-europe-2023-key-takeaways-from-london-conference/

Gateways to Italy

Gateways to Italy – Offer your services to funds and investors willing to explore opportunities in Italy. Become a partner!

Gateways to Italy – Offer your services to funds and investors willing to explore opportunities in Italy. Become a partner!

by Partner
June 6, 2023

Sign up to our newsletter

SIGN UP

Related Posts

PRIVATE DEBT

Navamedic ASA expands into addiction treatment through the acquisition of the business of dne pharma and announces a partially underwritten rights issue

June 23, 2025
REAL ESTATE

Inheritance tax receipts raise £1.5bn in two months amid rumours of U-turn for Rachel Reeves

June 23, 2025
REAL ESTATE

Sellers must to be realistic in competitive market, data shows

June 23, 2025

ItaHub

Crypto-assets supervision rules in Italy, Banca d’Italia will supervise payment systems and Consob on market abuse

Crypto-assets supervision rules in Italy, Banca d’Italia will supervise payment systems and Consob on market abuse

November 4, 2024
Italy’s SMEs export toward 260 bn euros in 2025

Italy’s SMEs export toward 260 bn euros in 2025

September 9, 2024
With two months to go before the NPL Directive, in Italy the securitization rebus is still to be unraveled

With two months to go before the NPL Directive, in Italy the securitization rebus is still to be unraveled

April 23, 2024
EU’s AI Act, like previous rules on technology,  looks more defensive than investment-oriented

EU’s AI Act, like previous rules on technology, looks more defensive than investment-oriented

January 9, 2024

Co-sponsor

Premium

Funds vying for management consulting firm BIP, a CVC portfolio company. All deals in the sector

Funds vying for management consulting firm BIP, a CVC portfolio company. All deals in the sector

March 6, 2025
Private equity, Italy 2024 closes with 588 deals as for investments and divestments from 549 in 2023. Here is the new BeBeez’s report

Private equity, Italy 2024 closes with 588 deals as for investments and divestments from 549 in 2023. Here is the new BeBeez’s report

February 10, 2025
Crypto-assets supervision rules in Italy, Banca d’Italia will supervise payment systems and Consob on market abuse

Crypto-assets supervision rules in Italy, Banca d’Italia will supervise payment systems and Consob on market abuse

November 4, 2024
Venture capital investments top €1.3bn in 208 rounds as of Sep30  in Italy. They were €1.5 in all 2023. The new BeBeez Report

Venture capital investments top €1.3bn in 208 rounds as of Sep30 in Italy. They were €1.5 in all 2023. The new BeBeez Report

October 28, 2024
Next Post

Debitos launches Data Converter and Portfolio Analytics services in support of the EBA’s standardization process

European NPL outlook: Germany and UK

EdiBeez srl

C.so Italia 22 - 20122 - Milano
C.F. | P.IVA 09375120962
Aut. Trib. Milano n. 102
del 3 aprile 2013

COUNTRY

Italy
Iberia
France
UK&Ireland
Benelux
DACH
Scandinavia&Baltics

CATEGORY

Private Equity
Venture Capital
Private Debt
Distressed Assets
Real Estate
Fintech
Green

PREMIUM

ItaHUB
Legal
Tax
Trend
Report
Insight view

WHO WE ARE

About Us
Media Partnerships
Contact

INFORMATION

Privacy Policy
Terms&Conditions
Cookie Police

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
No Result
View All Result
  • COUNTRY
    • ITALY
    • IBERIA
    • FRANCE
    • UK&IRELAND
    • BENELUX
    • DACH
    • SCANDINAVIA&BALTICS
  • PRIVATE EQUITY
  • VENTURE CAPITAL
  • PRIVATE DEBT
  • DISTRESSED ASSETS
  • REAL ESTATE
  • FINTECH
  • GREEN
  • PREMIUM
    • ItaHub
      • ItaHub Legal
      • ItaHub Tax
      • ItaHub Trend
    • REPORT
    • INSIGHT VIEW
    • Private Data
Subscribe
  • Login
  • Cart