Virtual Data Rooms for Non Performing Loan (NPL) Transactions

Virtual Data Rooms Boost Efficiency of NPL Transactions

Frankfurt, February 11th 2010 - In the past couple of years, German banks have started an aggressive sell-off of their NPL portfolios. As an asset class, NPL's have been quite an attractive addition to many investment portfolios and should continue to be. One major aspect of the attraction is that buyers can sometimes acquire NPL's at a substantial discount to the nominal value of the assets contained therein.

Indeed, most NPL's are purchased with an eye toward the cash value of the assets that could potentially be liquidated (mostly real estate) if the loan continues to not perform. This can be an important method by which to balance other prospective losses in any given investment portfolio. To really make the best deals, however, requires intensive due diligence to ensure the potential value of any associated assets. Therefore, the efficiency with which the due diligence can be conducted becomes a key factor in its success.

„Many NPL sellers do take advantage of virtual data rooms boosting efficiency of the transaction process. Nevertheless, so much more of the potential for optimizing the process still goes unrecognized," according to Jan Hoffmeister, CEO DRSdigital AG. "We have provided virtual data rooms for bank NPL transactions for years and can make due diligence less expensive as well as more efficient and transparent."

As a sponsor of events such as the NPL forum 2009, presented by the Frankfurt School Publishing House in collaboration with the Frankfurt School of Finance and Management and the Federal Association of Credit Purchase and Servicing, DRS works continuously on the development of their virtual data room solution to enhance the efficiency of NPL transactions.

Contact for the Media

Meike Mohr
Vice President Marketing
DRS Frankfurt
Eschersheimer Landstr. 6
60322 Frankfurt, Germany

P: +49 (0) 69 478640 - 280
M: +49 (0) 178 255 2071
F: +49 (0) 69 478640 - 1

meike.mohr@dataroomservices.com
www.dataroomservices.com