Citadel Buys Bankrupt ResMae

Citadel Investment Group LLC, a hedge fund, has agreed to buy the assets of bankrupt subprime wholesaler ResMae Mortgage for $180 million, beating out Credit Suisse, which earlier said it had a deal for the lender.Among subprime wholesalers, ResMae of Brea, Calif., ranked 14th nationwide, according to the Quarterly Data Report, a National Mortgage News publication. The privately held ResMae filed for Chapter 11 bankruptcy protection in February, leaving behind a long trail of Wall Street creditors including Merrill Lynch, which had a $308 million buyback dispute with the company. Citadel's bid includes $20 million for ResMae's lending operation and 98.5 cents on the dollar for the wholesaler's $160 million loan portfolio. At deadline time, Credit Suisse could not be reached for comment. ResMAE can be found on the Web at http://www.resmae.com.