Subject category:
Finance, Accounting and Control
Published by:
Harvard Business Publishing
Format:
.xls
Data source: Field research
Abstract
This supplementary software is to accompany the case. Covers the first international non-performing loan securitization done in Korea. The Chief Executive Officer (CEO) of KAMCO is trying to dispose of a portfolio of non-performing commercial loans that the organization acquired from a number of banks. A group of investment bankers have proposed securitizing the loans and selling them to institutional investors. Securitization of loans (or any other type of assets) is not common in Korea, so the CEO must think through several factors as he decides whether to accept this proposal, the most important of which is the recovery price.
About
Abstract
This supplementary software is to accompany the case. Covers the first international non-performing loan securitization done in Korea. The Chief Executive Officer (CEO) of KAMCO is trying to dispose of a portfolio of non-performing commercial loans that the organization acquired from a number of banks. A group of investment bankers have proposed securitizing the loans and selling them to institutional investors. Securitization of loans (or any other type of assets) is not common in Korea, so the CEO must think through several factors as he decides whether to accept this proposal, the most important of which is the recovery price.