WCI Communities has hired banks for an initial public offering later this year as the formerly bankrupt luxury home builder tries to capitalize on a recovery in the U.S. housing sector, Reuters reported yesterday. The Bonita Springs, Fla.-based company has hired Citigroup Inc. and Credit Suisse to lead the deal. Under chairman Carl Icahn, WCI Communities filed for bankruptcy in August 2008 after being hit hard during the housing downturn and failing to obtain financing. WCI Communities' bankruptcy filing was among the biggest builder bankruptcies, which also included Tousa Inc. and Levitt & Sons. After eliminating $2 billion in debt, WCI emerged from bankruptcy in September 2009 as a private company, with private investment firm Monarch Alternative Capital as its largest shareholder.
