Tuesday, July 31, 2007

MGIC, Radian's C-Bass Subprime Venture Is in Talks to Secure More Funding

(Bloomberg) -- Credit-Based Asset Servicing and
Securitization LLC, a New York-based subprime loan company, said
it's in talks with investors to ensure it has sufficient funds
after turmoil in the market for high-risk borrowers.

Mortgage insurers MGIC Investment Corp. and Radian Group
Inc. yesterday said their C-Bass joint venture may be worthless,
requiring more than $1 billion in writedowns. MGIC, the largest
U.S. insurer of home loans, and Radian, the rival it's buying,
said ``unprecedented'' volatility in mid-July may have destroyed
their stakes, each valued at more than $500 million on June 30.


Read more at Bloomberg Bonds News

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