American Banker (05/05/08) P. 11; Terris, Harry
North Carolina-based mortgage insurer Triad Guaranty Inc. has initiated exclusive negotiations with Lightyear Capital LLC, a private-equity firm, to create a new company that would assume some of Triad's sales and underwriting infrastructure. In the meantime, Triad--the smallest player in the MI business and the one hit the hardest by rating agency downgrades--would allow its existing MI book to run off. Lightyear Chairman and CEO Donald Marron believes that the outlook for writing new MI policies is improved, and his company could provide an investment of $200 million firm. Triad, which Fitch Inc. says is likely to end up in a runoff scenario even if a new company is not established because of its inability to attract capital, tentatively hopes to close on a deal with Lightyear in the third quarter.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment