Capabilities

Sale of substantially all of the bank's assets

Aurora Bank, FSB
2012 - 2012

Our attorneys represented Aurora Bank FSB, a wholly-owned subsidiary of Lehman Brothers, in the sale of substantially all of its assets and deposits in nine separately negotiated transactions.  Following completion of the asset and deposit sales, our attorneys structured and implemented a series of transactions completing the resolution of Aurora Bank.  The nine asset and deposit transactions, and the final resolution of Aurora Bank, included the following:

  • Sale of residential servicing assets for approximately US$1.9 billion to Nationstar Mortgage LLC, including the residential mortgage servicing rights, servicing advance receivables and certain servicing platform assets. The servicing rights were with respect to over $63 billion of residential loans.
  • Sale of US$2.2 billion FDIC-insured deposits to New York Community Bank, representing all of the deposits not held by an Aurora affiliate. The majority of the deposits assumed were short-term certificates of deposit (CDs), including approximately US$1.4 billion of brokered CDs and approximately US$768 million of retail and institutional CDs. In addition, the Bank also assumed approximately US$13 million of money market accounts.
  • Sale of servicing assets for the servicing of US$1.8 billion of commercial loans for third parties (primarily, securitization trusts) and related advance receivables sold to Ocwen Financial.
  • Sale of a US$720 million residential forward whole loan portfolio serviced by Aurora to a private equity firm.
  • Sale of a US$180 million residential forward whole loan portfolio serviced by third parties to a private equity firm.
  • Sale of a US $400 million residential reverse whole loan portfolio to a private equity firm.
  • Sale of a US$255 million combined large balance commercial loan portfolio and small balance commercial loan portfolio to a private equity firm.
  • Sale of a portfolio of loans consisting of SBA Loans, a HUD loan, and an USDA loan to Northeast Bank.
  • Sale of servicing rights to a pool of Small Business Administration guaranteed loans to Newtek Small Business Finance, Inc.

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