GMAC considering several ResCap asset sales
NEW YORK (Reuters) - Finance company GMAC LLC on Thursday said it is considering several asset liquidations for its Residential Capital LLC mortgage unit, which is trying to bolster liquidity after losing $5.3 billion in the last six quarters.
In a U.S. Securities and Exchange Commission filing, GMAC said liquidations may include a sale of interests in ResCap's mortgage securitizations, the marketing of loans secured by time-share receivables and by ResCap's British and continental Europe mortgage portfolios, whole loan sales, and the marketing of businesses unrelated to mortgage finance.
ResCap on May 5 said it would need to raise $600 million by the end of June to avoid "negative liquidity," even if several plans to relieve its debt burden, including a $14 billion bond exchange offer, were successful.
A group led by private equity firm Cerberus Capital Management LP CBS.UL owns 51 percent of Detroit-based GMAC. It bought that stake in 2006 from General Motors Corp GM.N, which owns 49 percent. ResCap is the largest independent U.S. mortgage lender other than Countrywide Financial Corp CFC.N.
(Reporting by Jonathan Stempel; Editing by Steve Orlofsky)
