Deutsche Bank to pay Vestia 175 million euros settlement in derivatives suit

Deutsche Bank to pay Vestia 175 million euros settlement in derivatives suit
FILE PHOTO: The logo of Deutsche Bank is pictured on a company's office in London, Britain July 8, 2019. REUTERS/Simon Dawson -
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SIMON DAWSON(Reuters)
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AMSTERDAM (Reuters) – Dutch housing cooperation Vestia said on Friday Deutsche Bank would pay it 175 million euros (£157.19 million) to settle claims the German bank had improperly sold it interest rate derivatives.

In a statement on its website, Vestia said it would cancel the suit it had been pursuing against Deutsche Bank at the High Court of Justice in London.

Vestia nearly went bankrupt in 2012 after suffering 2 billion euros in losses on derivatives it had purchased from ABN Amro, Deutsche Bank and other major investment banks as a hedge against rising interest rates.

(Reporting by Toby Sterling; Editing by Mark Potter)

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