Emergent Capital, Inc. announced that Emergent and its subsidiaries, including White Eagle Asset Portfolio, LP, entered into a binding commitment with Jade Mountain Partners in connection with the Plan of Reorganization of Emergent’s subsidiaries previously approved by the United States Bankruptcy Court for the District of Delaware.

The commitment letter provides for a transaction in which Jade Mountain and/or certain of its affiliates and/or certain investors will acquire 72.5% of the equity interests of White Eagle, the owner of substantially all of the Company’s portfolio of life insurance policies, in exchange for $384,250,000 as may be adjusted in accordance with the final documentation. The proceeds of the transaction will be used to pay off White Eagle’s revolving credit facility with an affiliate of Beal Bank.

Pat Curry, Emergent Capital’s Chairman and Chief Executive Officer, commented, “We are pleased to have reached a commitment with Jade Mountain that will allow us to exit bankruptcy reorganization and pay off the Beal Bank facility while incurring very little new debt moving forward with a strong, like-minded partner in Jade Mountain.”

The Commitment Letter and its terms and the transactions contemplated thereby were approved by the Bankruptcy Court on July 22, 2019. The parties intend to consummate the transaction as soon as practicable, subject to completion of definitive documents.