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.
Due to the detailed diligence required in acquiring loan portfolios, the transaction process is prolonged compared to traditional W&I transactions. Engaging early with Paragon is advised for efficient structuring, insurability understanding, diligence scoping, and warranty drafting.
Premiums for Loan Portfolio Sale Insurance are generally higher, ranging between 1.5%-2% rate online, influenced by factors such as portfolio size, performance, and the complexity of underlying security.