Thursday 18 July 2019

UBS is highest earner as Nama fees jump 32pc to €13m in 2014

UBS earned €3.85m last year
UBS earned €3.85m last year

Gordon Deegan

Swiss Investment bank UBS was the big winner in fees paid out last year by Nama, receiving €3.85m from the agency.

The London branch of UBS carried out a review of Nama's assets last year and new figures provided by the Minister for Finance, Michael Noonan, show that the firm was well rewarded for its Nama work.

Minister Noonan also confirmed that legal firm McCann Fitzgerald received the second highest amount - €1.49m. The amount paid out by Nama in fees for legal, consultancy and advisory work totalled €13.14m - a 32pc jump on the €9.95m paid out in 2013.

In a detailed written Dail response to Deputy Michelle Mulherin (FG), Minister Noonan further states that Hogan Lovells International LLP received €852,000 in fees.

Other firms to receive more than €400,000 in fees last year include Aon Risk Solutions, which received €649,000, KPMG got €458,000 in fees.

Arthur Cox received €224,000 and PriceWaterhouse Coopers received €182,000. The figures provided by Minister Noonan show that fees paid to consultants and other firms in 2013 decreased from the €16.47m in 2012.

The largest payout to consultants took place in 2011 when €70.54m was paid out with the biggest proportion - €44.5m - being paid to firms carrying out due diligence on bank loans.

During that year, Nama recovered €34.5m from the banks on the due diligence costs.

The figures for 2014 show that the highest proportion of funds was spent on legal fees with  €8.57m spend under that heading while an additional €3.775m was spent on portfolio fees. 

The work of Nama has proved to be big business for legal, accountancy and other professional firms with €153m paid to firms for legal, consultancy and advisory between 2010 and 2014.

However, Nama was able to recover €64.1m of that amount on loan acquisitions.

To date, Nama has generated €24.5bn cash flows and the agency continues to record operating profits after impairments charges.

Irish Independent

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