U.S.-based Apollo Global Management LLC, China-based HNA Group Co. Ltd. and at least three other parties submitted preliminary bids to acquire HSH Nordbank AG, Bloomberg News reported, citing "people familiar with the matter."
The German states of Hamburg and Schleswig-Holstein, which own the HSH Nordbank, said they were "very pleased" with the bids so far, the newswire said April 2. State officials and regulators will review the bids in the next few weeks.
The two states are required by the EU to sell HSH Nordbank by the end of February 2018, about nine years after they rescued the lender from collapsing under the weight of failed investments in U.S. subprime mortgages and bad shipping loans, Bloomberg said. Failure to sell could lead HSH Nordbank to be wound down.
HSH Nordbank CEO Stefan Ermisch recently said the lender had received more than 10 expressions of interest, according to the report. Not all interested parties turned their expressions of interest into indicative offers, however, while Norddeutsche Landesbank Girozentrale, which has repeatedly been rumored to be eyeing HSH Nordbank, insisted that it was not bidding for its German peer.
HNA Group is working with asset manager C-Quadrat Investment AG for its acquisition offer, sources told Bloomberg.