For over 15 years the AMAL team has developed a strong reputation as a specialist step-in Loan Servicer and Trust Manager.
As Loan Servicer, AMAL has taken on over $A4 billion of loans where either the lender, the portfolio, or both were in distress. This included acting on behalf of warehouse banks, retail and wholesale investors and purchasers of non-perfoming loan portfolios.
As Trust Manager, members of the AMAL team have been involved in the wind up of several complex, capital markets structures across a wide range asset classes including mortgages, leases and trade-receivables.
Elderslie Finance was placed into receivership in July 2008.
Following nine months of receivership and a number of failed attempts to sell the portfolio, the receiver, PriceWaterhousCoopers, elected to put the servicing of the book out to tender, to enable maximum recovery for the funders, which included National Australia Bank, Societe Generale, ANZ and Bendigo and Adelaide Bank. Following success in the tender process, AMAL was appointed servicer of the portfolio.
This was one of the most challenging integrations AMAL has undertaken. The portfolio comprised over 12,500 small-ticket operating and commercial hire purchase leases (of which approximately 4,500 were in long-term arrears), a number of unfamiliar systems and limited access to existing staff.
As part of an intensive four week transition process, AMAL undertook the following process:
After six months of working on the portfolio, AMAL was able to stabilise the operations, undertake extensive reconciliations and adjustments, restructure the funder payment process to improve efficiency and transparency and reduce the arrears by two-thirds.
After five years, all senior funders were repaid in full and AMAL purchased the residual portfolio.
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