HSH Nordbank AG nearly tripled its profit in the first quarter as the world’s largest shipping lender cut loan-loss provisions by 81 percent and new credit deals almost doubled driven by the real estate business.
HSH Nordbank AG, the world’s largest shipping lender, said new loans to businesses surged about 30 percent this year, after Moody’s Investors Service warned of rising default risks in the maritime industry.
Reederei Heinrich, a 149-year-old German shipping company, risks losing two of its three vessels unless it repays loans as financial stress in the industry spreads to banks facing a European Central Bank review.
HSH Nordbank AG, a German regional lender bailed out during the financial crisis, sued Goldman Sachs Group Inc. and Morgan Stanley over more than $634 million in residential mortgage-backed securities.
Six former HSH Nordbank AG board members should pay fines of as much as 150,000 euros ($204,000) for approving a transaction called Omega 55 during the global financial crisis, German prosecutors said.