Milestone Merchant Partners is now officially offering for sale a $20 billion package of residential servicing rights on behalf of the Federal Deposit Insurance Corp. The offering has been rumored for several weeks.
The receivables once belonged to AmTrust Bank of Cleveland, which failed late last year. A Milestone official told National Mortgage News that the offering process has now "officially" commenced. At press time no other details were available.
The AmTrust portfolio is the largest bulk offering of servicing rights to hit the market this year. Flagstar Bancorp, Troy, Mich., is currently in the market with a $10 billion offering of servicing rights, but to date has declined to talk about the package.
In other AmTrust news, Barclays Capital is getting ready to solicit bids for a $2 billion portfolio of loans from AmTrust, as earlier reported by StructuredFinanceNews.com.