Permanent tsb today announces it has completed the acquisition of the performing micro-SME (“Business Direct”) loan book of Ulster Bank Ireland DAC (“Ulster Bank”) following the successful transfer of approximately 3,200 loan accounts to the bank.
The acquisition of the Business Direct loan book is part of a broader transaction with Ulster Bank, which included the transfer of €5.2 billion performing non-tracker residential mortgages in November 2022, and the transfer of 25 former Ulster Bank branch locations in January 2023. The transfer of a further c.€900 million of performing non-tracker residential mortgages, along with the entire Lombard asset finance business, is expected to take place in Q2 2023.
The Business Direct loan book acquired currently comprises loans with a value of c.€165 million. Permanent tsb’s business lending will increase in size by c.200% when incorporating the SME loans and the established asset finance business being acquired.
28 Ulster Bank employees who were wholly or mainly assigned to the Business Direct loan book have now transferred to permanent tsb under the Transfer of Undertakings Regulations (TUPE). To date, more than 250 Ulster Bank employees have now transferred to permanent tsb as part of this transaction.
Permanent tsb will write to the customers connected to the migrating Business Direct loan book in the coming weeks to provide them with comprehensive information about the transfer. Permanent tsb has also updated its dedicated customer hub to support these customers as they transition to the bank.
Eamonn Crowley, permanent tsb Chief Executive, said:
“This is another significant step for permanent tsb as we complete the migration of Ulster Bank’s micro-SME loan book today and welcome more new colleagues to the bank.
Growing business banking is a fundamental part of our ambition of being Ireland’s best personal and small business bank. Through the acquisition of these 3,200 new customer relationships, we will demonstrate our commitment to providing a best-in-class business banking offering, supported by excellent service from a team of highly experienced and dedicated people.”