Asset manager GSC Group goes bankrupt, to sell assets

Sept 1 (BestGrowthStock) – Privately held alternative asset manager
GSC Group Inc, a former unit of Travelers Group Inc, filed for
bankruptcy in a Manhattan court and said it plans to sell all
its assets.

The company was founded in 1994 by Alfred Eckert as a
subsidiary of Travelers to invest in private equity
transactions but became independent in 1998 after Travelers
Group merged with Citicorp.

“As of March 31, 2010, GSC had approximately $8.4 billion
of assets under management (AUM) in approximately 28 separately
managed investment funds,” GSC said in a court filing late on
Tuesday.

GSC said it suffered significant losses during the
financial crisis as asset values depreciated considerably and
credit markets froze.

The company, which had $28 billion of AUM at its peak, said
the falling asset values and liquidity constraints also
significantly strained its relationships with investors.

GSC has estimated assets in the $1-$10 million range and
liabilities in the $100-$500 million range. The Chapter 11
petition included six affiliates of the company.

The case is In re: GSC Group Inc, U.S. Bankruptcy Court,
Southern District of New York (Manhattan), No: 10-14653.
(Reporting by Santosh Nadgir in Bangalore; Editing by Jarshad
Kakkrakandy)

Asset manager GSC Group goes bankrupt, to sell assets