NWG Natwest Group Plc

By Ian Walker

LONDON--Royal Bank of Scotland Group PLC (RBS.LN) said Thursday it is selling a portfolio of loans to an entity funded by Deutsche Bank AG (DB) and funds affiliated with Apollo Global Management, LLC (APO) for 400 million pounds ($621 million).

RBS, which is 80%-owned by the U.K. government, said it will use the money raised for general corporate purposes. It expects the deal to be completed in September.

The carrying value of the loans at Dec. 31, 2014 was GBP376 million and the sale is expected to generate a profit of GBP24 million after costs, RBS said.

-Write to Ian Walker at ian.walker@wsj.com; @IanWalk40289749

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