First Marblehead Corp. sold its data services company and legacy trust administration business to Route 66 Ventures for $13.7 million.
The company said that the sale of First Marblehead Data Services (FMDS) and Goal Structured Solutions fell in line with its strategic focus on new business opportunities and product lines that are critical to the future success of the First Marblehead.
"While FMDS has historically been a profitable complement to our private student loan securitization business, we would not expect FMDS to administer future securitization trusts that we may facilitate in connection with our Monogram(R) platform," explained Daniel Meyers, president and CEO of the company in a press statement. "This sale allows the company to continue to focus on the future, and redeploy resources for growing the business."
First Marblehead's Monogram(R) platform is an integrated suite of design, implementation and credit risk management services for private-label, customizable private education loan programs.