* Ocwen, Carrington advance in Litton auction
* Litton could fetch up to $500 mln in equity
* Goldman offering 85 pct financing for the unit
* Financing to cover about $2.5 bln in Litton advances
By Paritosh Bansal
NEW YORK, April 14 Goldman Sachs Group Inc's
(GS.N) mortgage servicing unit, Litton Loan Servicing, has
attracted bidders including Ocwen Financial Corp (OCN.N) and
Carrington Holding Co, sources familiar with the matter said.
Litton could fetch up to $500 million or so in the auction,
which has advanced to the second round, the sources said,
declining to be named because the sale process is not public.
Goldman is offering 85 percent financing for the deal,
which would be used to finance roughly $2.5 billion of
Companies like Litton, which collect mortgage payments from
borrowers and foreclose on properties, make advances to
mortgage owners when a loan goes bad, to cover things like
principal and interest payments.
Goldman spokesman Michael DuVally declined to comment.
(Reporting by Paritosh Bansal; additional reporting by Al Yoon
and Lauren LaCapra, editing by Dave Zimmerman)