Pursuits
Patriarch Steps Down From Zohar, Steps Back From MBIA Fight
- Lynn Tilton won't manage collateral for distressed-debt funds
- Her role with 70 companies in Patriarch's portfolio continues
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Lynn Tilton’s Patriarch Partners LLC stepped back from a legal dispute with MBIA Inc. over the Zohar distressed-loan funds -- a fight that was alternately said to imperil the global structured-finance markets and the Cayman Islands collateralized debt obligation industry.
Patriarch said in a statement Friday that it would step down as collateral manager of three Zohar funds, one of which the company had sought to force into bankruptcy. It will also remove its opposition to having the bankruptcy petition dismissed, according to the statement.