Oaktree Capital wins $1.7 bln asset sale by FDIC-FT

July 15 (BestGrowthStock) – Oaktree Capital Management [OAKCP.UL]
has won a $1.7 billion portfolio of distressed residential loans
auctioned by the Federal Deposit Insurance Corp, the Financial
Times reported, citing people familiar with the matter.

The portfolio, from Ohio-based Am Trust, consists of about
280 loans with an average face value of about $6 million each,
the paper said.

The Financial Times said Los Angeles-based private equity
and distressed-debt investor Oaktree teamed up with luxury U.S.
homebuilder Toll Brothers (TOL.N: ) to bid for the assets, for
which the FDIC offered zero interest rate debt and took an
equity stake along with the buyer.

The FDIC and Oaktree could not be immediately reached for
comment by Reuters outside regular U.S. business hours.

On Wednesday, Thomas Barrack’s Colony Capital won an auction
for a 40 percent stake in a portfolio of distressed commercial
real estate loans being sold by the FDIC, paying $440 million.
[ID:nN14188419]
(Reporting by Antonita Madonna Devotta in Bangalore; Editing by
Michael Shields)

Oaktree Capital wins $1.7 bln asset sale by FDIC-FT