Four Lifemark traded life settlement policies have been sold and another 10 are being lined up for sale to raise lifeline cash for the group.
The sales have so far raised £2.9m and it is hoped they will total £7.1m in a process expected to keep Lifemark’s policies solvent until November 2010, according to a spokesman for Lifemark founder Stewart Ford.
The assets that are being sold are owned by Billericay Trading Limited, a company associated with Ford. Ford founded Keydata, the failed structured product boutique which placed 32,000 UK investors in Lifemark investment portfolios. (article continues below)
The move buys time for Lifemark’s provisional administrator KPMG Luxembourg to find a backer to provide a restructuring loan for Lifemark, to keep up the policy payments on its life settlement assets. It comes after US hedge fund CarVal last week walked away from talks over providing a loan to Lifemark, as revealed by Money Marketing.
A further announcement reporting progress on the proposed rescue package for Lifemark will be made by September 20, according to the statement.