Puerto Rico's Popular to sell $568 mln in bad loans

March 1 Fri Mar 1, 2013 7:14am EST

March 1 (Reuters) - Puerto Rico-based lender Popular Inc said it would sell $568 million portfolio of non-performing loans to a joint venture between Caribbean Property Group and funds affiliated with Perella Weinberg Partners.

Popular will receive about $112 million in cash, a note for about $203 million, and a 24.9 percent interest in the joint venture.

The transaction is expected to result in an after-tax loss of about $185 million, which will be recognized in the first quarter.