Carlyle Capital to file to liquidate the firm (Court gives approval )

MarketWatch ^ | March 17, 2008 | Robert Daniel, MarketWatch

[Ernest_at_the_Beach]

Lenders take the last of the fund's mortgage-backed securities

TEL AVIV (MarketWatch) - After 19 months in business and eight months as a public company, Carlyle Capital Corp., the Channel Islands affiliate of the Washington private-equity firm Carlyle Group, said Monday it would apply under Guernsey's companies law to liquidate the firm.

The company late Sunday said it "received default notices from its remaining two lenders and it believes that its lenders have now taken possession of substantially all of its U.S.-government-agency AAA-rated residential-mortgage-backed securities," Carlyle Capital said in a statement. "As a result, the company believes its liabilities exceed its assets."

Holders of the Class A shares have approved the move to liquidate, Carlyle Capital said.

Carlyle said the board recommended winding up the company's affairs after analyzing its prospects and "careful consideration of other options for continuing the business. The company will work with the court-appointed liquidator to ensure an orderly realization of assets and their subsequent distribution."

[Ernest_at_the_Beach]

8 minutes ago Carlyle Capital granted court OK for compulsory liquidation - MarketWatch

[Ernest_at_the_Beach]

So I wonder whose homes they owned....?

[Carry_Okie]

Are Carlyle Group assets protected from Carlyle Capital Corp. creditors?

Please, please, please say, "No."

[decimon]

The article doesn’t say how the liquidation of Carlyle Capital will effect Carlyle Group.

Charting Carlyle Capital in a place known otherwise for cows may be a clue that it won’t effect Carlyle Group.

[deport]

So I wonder whose homes they owned....?

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It would be interesting to see what their investment portfolio looked like. In the past the Carlyle Group would put together a group and secure funding to purchase specified distressed companies/properties. At one point they had some seven or so groups but I don’t know the number today or what the specified purpose of this failed group was.

[decimon]

Arrgh.

charting = chartering.

[B4Ranch]

I’m wondering if Henry K isn’t a creditor of the Group.

[starlifter]

Let's see: separate legal entity registered in the Channel Islands. No doubt they did this for a reason...

[snarks_when_bored]

Will the principals of Carlyle Capital give back their windfall profits from the sale of shares in the IPO eight months ago?

Yes, of course they will. They'll do it because it's the right thing to do.

[AndyJackson]

separate legal entity registered in the Channel Islands.

Any guess as to where we might find the "fees" that were skimmed during this time? Isle of Mann? Switzerland? The Cayman Islands?