February 13, 2014 / 5:47 PM / 4 years ago

MBIA close to settlement with Nomura over MBS exposure-WSJ

Feb 13 (Reuters) - Bond insurer MBIA Inc is close to a $400 million settlement with Japan’s Nomura Holdings Inc , reducing its legal exposure to soured mortgage-backed securities by $3 billion, the Wall Street Journal said.

Under the settlement, which could be announced as soon as Thursday, MBIA will pay $325 million now and $83 million later if certain legal disputes “work out in its favor,” the daily said, without naming its source. ()

MBIA shares were up about 3 percent at $12.33 in afternoon trading on the New York Stock Exchange.

Bank of America Corp paid $1.6 billion to MBIA in May to settle a long-pending lawsuit and receive the right to buy a 4.9 percent stake in the company.

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below