South Carolina-based Life Settlements Absolute Return I LLC has found a buyer for its portfolio of life-insurance policies, which it holds as an investment bet on how long aging people who originally took out those policies will live, WSJ Pro Bankruptcy reported. In court papers, Life Settlements Absolute Return officials said that the $5.65 million offer from BPCP Life Settlement LLC would transfer “ownership of the business to a financially stable buyer” that can continue to make policy payments. The deal still needs approval from a bankruptcy judge. The Greenville, S.C., firm, which used pension fund money to invest in the life-settlements market, filed for bankruptcy in the U.S. Bankruptcy Court in Wilmington, Del., on Dec. 29, 2017, running low on money to make payments that would prevent life-insurance policies from expiring. Shortly after filing, several potential portfolio buyers contacted the firm’s lawyers, according to court documents. Life Settlements Absolute Return officials asked Judge Mary Walrath to hold a scheduling hearing on Feb. 19 to determine a bid deadline for other potential buyers and an auction date if multiple bids come in.
