Our team features seasoned professionals with backgrounds in legal restructuring and credit risk underwriting.
We have expertise in legal restructuring and credit risk underwriting and are well-equipped to handle both performing and non-performing loan portfolios. Whether structured as share or asset sales, our team excels in transactions involving amalgamated loan books of securitised debt. A diversified loan portfolio, covering both safe and risky loans, minimises the risk of losses.
Our team excels in NPL transactions, having worked with global banks and private equity funds. Between 2015-2019, NPL valuations returned to pre-crisis levels, spurring increased trade activity. Our W&I insurance, when structured effectively, facilitates negotiations by providing the buyer with protection around data accuracy and financial information, while allowing the seller to limit recourse significantly—transforming escrow amounts from 10%-20% to more favourable terms.
Premium:
Higher than traditional W&I insurance, premiums for loan portfolio insurance range between 1.5%-2% rate online.
Process:
Due to detailed diligence in acquiring loan portfolios, transactions take longer compared to traditional W&I. Engaging with us early is recommended for advice on structuring the transaction, understanding insurability, scoping diligence, and drafting insurable warranties.
When structured effectively, Loan Portfolio Sale Insurance facilitates negotiations by providing the buyer with protection around data accuracy and financial information. It also allows the seller to significantly limit recourse under the acquisition agreement, transforming escrow amounts for more favourable terms.
Yes, each Loan Portfolio Sale Insurance policy is tailored to meet the unique requirements of a transaction, ensuring comprehensive coverage aligned with specific needs.
Paragon’s M&A team consists of seasoned professionals with backgrounds in legal restructuring and credit risk underwriting. They excel in insuring transactions involving both performing and non-performing loan portfolios, providing expertise in structured share or asset sales.