FirstCity Capital Announces 1st Securitization

FirstCity Capital Corp., Valhalla, N.Y., has announced the completion of its first securitization.FirstCity Capital Home Equity Loan Trust 1998-1 is a $122.7 million private issue of asset-backed securities collateralized by home equity loans. James H. Aronoff, FirstCity Capital's chief executive officer, said he viewed the deal as "the start of long-term, productive relationships with our correspondents and with asset-backed investors." The company was founded last year by Mr. Aronoff; Christopher J. Morrissey, FirstCity Capital's president and chief operating officer; and David R. Keeney, senior vice president. They "specialize in forming long-lasting partnerships with primary lenders and acquiring and servicing home equity loans from various originators," the company said. The securitization was underwritten by Lehman Brothers and Nomura Securities International Inc. and insured by Financial Security Assurance.