FAI kicks off the new year with Desmond debt deal
Danske Bank declines to reveal discount it accepted on near €60m in loans
The Danske Bank headquarters at Tallaght, Co Dublin. It was reported yesterday that the association has received a writedown of €12.5 million on the loans. Photograph: Eric Luke
It was reported yesterday that the association has received a writedown of €12.5 million on the loans as part of a refinancing agreed with QED Equity, an investment firm founded by Dermot Desmond, and Kohlberg Kravis Roberts (KKR), a giant US investment house.
It is likely the bank accepted a higher discount than this when it negotiated the refinancing deal with the FAI and the two investment houses. QED and KKR could not be reached for comment last night. The Sunday Times reported yesterday that the deal means the FAI will save up to €20 million in capital and interest payments over the next six years.