Wall Street Journal (04/02/08) P. C2; Wei, Lingling
Thornburg Mortgage Inc., which appeared on the verge of seeking bankruptcy-court protection, now expects to resume making loans. The Santa Fe-based home-finance company was forced to suspend funding new mortgages recently after a sharp decline in the value of its mortgage securities left it short of cash and resulted in margin calls from its lenders. Last week, though, the MatlinPatterson Global Advisers LLC hedge fund made a $500 million investment in Thornburg, followed by Thornburg raising $1.35 billion through selling bonds, warrants to purchase its common stocks and interests in certain mortgage assets. CEO Larry Goldstone remarked, "The company has adequate cash flow and adequate liquidity, and will be able to begin lending again within weeks, if not days."
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment