>
home subscribe advertise reprints e-mail help RSS about us LOG IN

Mortgage News

 

Mortgage News

HOT Topics

production

servicing

compliance

legal

fraud

secondary

jobs

appraisal

site map

www.loan-academy.com/
twitter linkedin
facebook google+
Search:

Mortgage News

News by Subject
Complete list of specialty news sections.

Purchase Subscription
Subscribe to MortgageDaily.com and get immediate access to all news, statistics and archives.

Mortgage Advertising
Reach mortgage executives, loan originators and other people tied to mortgage industry.

Consumer Mortgage News
Free mortgage news for prospective borrowers.

Mortgage Newsletter
Free e-mail newsletter with the latest headlines from MortgageDaily.com.

Mortgage News Reprints
Put entire MortgageDaily.com stories in your online or printed newsletter or publication.

Mortgage Feedget RSS code
Condensed MortgageDaily.com stories free on your Web site or for your RSS reader.

News Archives
Archive of MortgageDaily.com stories by month going back to 1999.

Press Releases
Reports and announcements from MortgageDaily.com.

Mortgage Statistics
Data and statistics for real estate finance.

Mortgage Directories
Directories of lenders, branch operators and mortgage service providers.

Mortgage Graphs
Directories of lenders, branch operators and mortgage service providers.

Mortgage Lawsuits News | Mortgage Litigation Index
Mortgage industry lawsuit news and mortgage litigation coverage. Stories about legal settlements, judgments and mortgage class actions.



Amresco Files For Bankruptcy

Company to sell noncash assets for $309 million to LLC whose principals include Goldman Sachs Group Inc.

July 3, 2001

By SAM GARCIA

AMRESCO, INC., (NASDAQ: AMMB profile) announced Monday that it has filed a voluntary petition for reorganization relief pursuant to Chapter 11 of the United States Bankruptcy Code. In conjunction with the filing, the company said it has entered into an asset purchase agreement with NCS I LLC, a limited liability company, the members of which are Renewal Partners LLC, affiliates of Fortress Investment Fund LLC and Goldman Sachs Mortgage Company, an affiliate of Goldman Sachs Group Inc., whereby, subject to Bankruptcy Court approval and a mandatory auction process, the company will sell substantially all of its assets, exclusive of its cash and cash equivalents, for a purchase price of $309 million, subject to certain adjustments. The purchase price is comprised of $151 million of cash, subject to adjustment, a $25 million six-month note and the replacement of current warehouse indebtedness of $133 million.

The Company's two operating subsidiaries -- AMRESCO Commercial Finance, Inc. and AMRESCO Independence Funding, Inc. -- have received commitment letters for up to $275 million of warehouse financing from NCS II LLC
(a NCS I LLC affiliate), and are not included in the bankruptcy filing. The replacement warehouse financing is subject to Bankruptcy Court approval as it will be guaranteed by AMRESCO and secured by its assets.

AMRESCO's Chairman and CEO, Randy Brown said that a previous deal with Renewal Partners and Fortress fell through because "the company's portfolio of business lending residuals experienced significantly reduced cash flows and deterioration in value due to continued increases in delinquencies and projected credit losses."

Brown went on to say, "because the company has been unsuccessful to date in finding traditional warehouse financing to fund loan origination activities, this process will also allow AMRESCO to preserve the value of its loan origination franchise."

Shares of AMRESCO were trading at eighty-seven cents this afternoon, down $0.07.


Sam Garcia has been in mortgage lending since 1980, and is managing editor of MortgageDaily.com. He also owns and operates CloseNow.com, a real estate portal site.

email: [email protected]

hosted by USANow.net

SUBSCRIBERS: Edit Subscription | Subscription Help | or call 214.521.1300

Subscribe Contact Us Site Map

Copyright © 2017 Mortgage Daily, D a l l a s
Subsribers Only:

AMC directory

ARM indexes

mortgage company directory

mortgage regulations

net branch directory

p r i c i n g engine directory

wholesale lender directory

More Mortgage News Resources (full site map):

advertising news

appraisal news

bank news

biggest lenders

commercial mortgage news

corporate mortgage news

credit news

FHA news

financial regulation news

foreclosure news

GSE news

jumbo mortgage news

interest rates

loan modification news

loan originator survey

LOS Newsletter

MBS

mortgage associations

mortgage-backed securities

mortgage books

mortgage brokers

mortgage compliance

mortgage conferences

mortgage directories

mortgage education

mortgage employment

mortgage employment index

mortgage executives

mortgage fraud

mortgage fraud blog

mortgage fraud local news

Mortgage Fraud Index

Mortgage Graveyard

mortgage insurance news

mortgage lawsuits

mortgage leads

mortgage lender ranking

mortgage licenses

mortgage litigation

Mortgage Litigation Index

Mortgage Market Index

mortgage mergers

mortgage news

mortgage politics

mortgage press releases

mortgage production

mortgage public relations

mortgage rates

mortgage servicing

mortgage statistics

mortgage technology

mortgage video

mortgage Webinars

net branch

net branch directory

nonprime news

origination news

originator tools

real estate news

refinance news

reverse mortgage news

secondary marketing

social media

servicing news

subprime news

wholesale lenders