|
The two affiliates, Lehman Brothers U.K. Holdings (Delaware) Inc
and Lehman Pass-Through Securities Inc, were put into bankruptcy
as part of a deal that will generate $485 million cash for the
Lehman estate, according to court documents.
The affiliates own residential mortgage-backed securities, real
estate and stock in First Data Corp <FDC.N>, which helps process
credit card transactions, among other assets, according to
papers filed in the U.S. bankruptcy court in Manhattan.
Affiliates of Brookfield Asset Management Inc of Canada
<BAMa.TO> are buying stakes in the Lehman affiliates, which were
put into bankruptcy to carry out the deal.
Administrators have spent years winding down Lehman's holdings
and have distributed around $147 billion to creditors, according
to court records.
More than 100 people still work for Lehman and the case remains
one of the largest U.S. bankruptcies, even after the
distributions to creditors. The estate holds $7 billion of
assets, much of it cash, as it works through hundreds of
remaining creditor claims and legal disputes.
Lehman is currently in the midst of a trial, already 42 days
long, seeking $2 billion from Citigroup Inc <C.N> over disputed
derivative claims. Citigroup has denied it owes the money to
Lehman.
The memory of Lehman's dramatic failure has sparked regulatory
efforts to prevent another damaging collapse. On Friday, the
U.S. Federal Reserve finalized a rule aimed at making it easier
to wind down large banks.
(Reporting by Tom Hals in Wilmington, Delaware; Editing by Steve
Orlofsky)
[© 2017 Thomson Reuters. All rights
reserved.] Copyright 2017 Reuters. All rights reserved. This material may not be published,
broadcast, rewritten or redistributed.
 |
|
