The bulk of his fortune comes from the 2015 sale to Blackstone. Stearns’ current stake in the mortgage lender is worth roughly $17 million. Glenn Stearns speaks at a panel promoting Undercover Billionaire. Court documents reveal that Glenn Stearns owns 29% of the company, which has assets of $1.22 billion and liabilities of $1.16 billion. Blackstone is infusing the company with $60 million in cash and $35 million in additional financing, viewing the bankruptcy as a way for the company to solve a long-running dispute with PIMCO, one of Stearns’ largest noteholders. As the Federal Reserve raised interest rates in 2017, originations continued to dive, dampening the company’s ability to repay $183 million in secured notes. Based on an analysis of Stearns’ publicly traded competitors in 2015, Forbes values the company at around $545 million at the time of the acquisition-meaning that Glenn Stearns would have received about $380 million before tax from the sale to Blackstone.įour years later, in July 2019, Stearns Holdings filed for bankruptcy. In August 2015, the Blackstone Group, the world’s largest private equity firm, acquired a 70% stake in Stearns Holdings for an undisclosed sum. Stearns Lending’s revenues in the 2014 fiscal year amounted to $522 million, according to Pitchbook. “There are always more willing buyers than there are willing sellers.” “If they are a willing seller, they’re losing their shirt,” said Larry Charbonneau, managing director of the Texas-based mortgage banking consultancy Charbonneau & Associates, in an interview.
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