Two subsidiaries of Scottish Re Group Ltd. have filed for bankruptcy with a deal in hand to sell to an investment fund connected to a former Goldman Sachs Group Inc. executive, WSJ Pro Bankruptcy reported. Facing five years of deferred interest payments coming due, Scottish Annuity & Life Insurance Co. and Scottish Holdings Inc. filed for bankruptcy Sunday in U.S. Bankruptcy Court in Wilmington, Del. Their parent is reinsurance company Scottish Re Group Ltd., which is owned by Cerberus and MassMutual Capital Partners LLC. Reinsurance provides insurance for insurance companies. The parent company isn’t part of the bankruptcy and has commenced voluntary winding-up proceedings in the Cayman Islands, according to court filings.
