LOAN SALE SERVICES

DebtX structures each loan sale to achieve optimal results for our clients.

Loan Analysis

Accurately assessing the market price of the seller’s assets and properly structuring the loan sale will greatly influence the final sale results. This initial loan analysis phase includes:

  • Review summary loan information
  • Request and review additional information as needed
  • Discuss client expectations and requirements
  • Provide pricing estimates based on current market conditions
  • Recommend and discuss pooling and offering strategies as appropriate

Deal Preparation

Providing a highly standardized data set for buyers drives prices higher, minimizes closing and post-closing risks, and provides greater market transparency for sellers. During this phase our teams:

  • Collect data and convert paper documents
  • Organize and prepare Review File
  • Prepare asset summary reports
  • Finalize sale structure and offering materials
  • Host client-approved Review File in secured, protected website

Marketing and Due Diligence

Maximizing proceeds entails reaching the greatest number of potential buyers, understanding the asset and understanding the investors – their preferences, yield requirements, target markets, and history, including who has bid most aggressively on similar transactions in the past.

Our underwriters and traders do a deep dive on every deal to fully understand strengths and weaknesses. Our patented Trading Desk tracks and stores buyer preferences, bidding history and behavior, allowing traders to identify and monitor the most relevant and high-probability buyers. Traders utilize this data, along with daily discussions with buyers, to keep our clients informed throughout the marketing process.

This phase focuses on:

  • Initial marketing, casting a wide net across the entire investor universe via email, social media and other marketing as appropriate
  • Targeted calling and emails to highest probability investor targets
  • Investor meetings, conferences as appropriate
  • Daily investor contact to gauge interest, answer questions
  • Selling the opportunity, mitigating objections, pushing pricing
  • Monitoring investor activity, number of NDAs executed and number of bids expected
  • Weekly conference calls with seller, sharing investor activity and market feedback

Execution and Closing

Bidding requirements, complete terms of sale and a standard closing procedure ensure that bids are unconditional, eliminating re-trading and driving investors to compete on price alone. Both price and certainty of execution are thereby increased. Transactions close in one week. During the execution and closing phase we:

  • Analyze and present bids
  • Review and acceptance of bid by seller
  • Notify winning bidder(s)
  • Follow standard closing procedure