Asta Funding, Inc., ("Asta") a publicly traded company (Nasdaq: ASFI), has announced the December 31, 2013 acquisition of an 80% ownership interest in CBC Settlement Funding, LLC ("CBC"), a structured settlement factoring company.
The announcement indicates Asta, "through a subsidiary acquired 100% of the ownership of CBC and its affiliate, CBC Management Services, LLC, for approximately $5.9 million" and then issued 10 percent ownership interests each in CBC to CBC's operating principals, William J. Skyrm, and James Goodman.
Asta's website describes the company as "a leading consumer receivable asset management company that specializes in the purchase, management and liquidation of performing and non-performing consumer receivables."
Asta's stock price reached a high of $43.18 on March 30, 2007 before plummeting to a low of $2.45 on March 31, 2009. Its stock price closed today during regular trading hours at $8.28 per share.
Asta's President and CEO Gary Stern expressed his optimism for the structured settlement secondary market. "Structured settlements are an asset class that has tremendous growth potential for us and is a synergistic business that works well with our overall business model", he stated.
Goodman added: "It is an exciting time in the structured settlement space as the consumer need for liquidity has never been greater due to scarcity of consumer lending from traditional banks."
For S2KM's complete reporting about the structured settlement secondary market, see the structured settlement wiki. For S2KM's summary of 2013 structured settlement secondary market developments, see this prior blog post.