Shoreline and Oaktree Buy US$168 Million in Non-performing Loans (Asia)

Source: LBO Wire  |  Author(s): Shasha Dai

Credit-focused private equity firms Shoreline Capital Management and Oaktree Capital Group have reportedly teamed up to purchase a portfolio of non-performing loans in China for a total of US$168 million. Shoreline contributed 51 percent of the deal value, with Oaktree contributing the remaining 49 percent. The portfolio consists of loans issued to Chinese companies and typically secured by the companies' hard assets. Sellers of the loans include Chinese banks and one of the country's asset management companies that buy bad loans at a discount from banks and other financial institutions.