Lone Star Funds has paid an undisclosed sum for unspecified assets from Bear Stearns’ residential mortgage unit – its second such known deal for US residential mortgage assets since October.
“A Lone Star Funds' subsidiary and a Lone Star Funds' affiliate have acquired certain operating assets and rights to certain operating assets of Bear Stearns Residential Mortgage, respectively,” a spokesman for the Texas-based private equity firm said in a statement.
“The firm does not intend to comment further on this matter,” he added.
Lone Star purchased residential mortgage company Accredited Home Lenders in October 2007 for $311 million (€201 million) after a series of long, litigious negotiations.
The $11.75 share price finally agreed upon represented a significant cut from Lone Star’s original $15.10 per share offer for Accredited, but was higher than an offer of $8.50 per share that was made after what Lone Star said was “drastic deterioration in the financial and operational condition of the company”.