Bank of America Merrill Lynch has bought a small package of loans from Spain's so-called 'bad bank' Sareb, helping the vehicle to surpass year-end sales targets, two sources familiar with the situation said on Monday. The U.S. bank bought two loans to troubled property company Metrovacesa, the sources said, adding that the loans were on Sareb's books at about 80 million euros ($108 million).Both Sareb, which was created at the end of last year to cleanse the Spain's rescued banks of their soured property loans and real estate, and Bank of America declined to comment.Sareb has sold nearly 900 million euros of loans linked to major property companies so far this year, though it is unclear how much it has actually received in payment.The loans that used to sit on rescued banks' books were transferred to Sareb at varying discounts. Sareb is 49 percent-owned by the government, with the remainder mainly shared between Spanish banks that did not need rescuing.
Bank of America Corporation (Bank of America) is a bank holding company, and a financial holding company. Shares of BAC traded higher by 1.37% or $0.215/share to $15.86. In the past year, the shares have traded as low as $9.38 and as high as $15.79. On average, 91372400 shares of BAC exchange hands on a given day and today's volume is recorded at 97721360.
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