Bruce Jeffrey Richards of Marathon Asset Management, LLC
An article from October of 2009 discusses the libel/slander lawsuit filed by Bruce Richards against the Construction and General Building Laborers Local 79.
In September of 2009, Moody’s downgrades Marathon Asset’s funds operation quality ratings to OQ1- from OQ1.
In August of 2009, Environmental Capital Partners (ECP), a New York based private equity firm, with its affiliates announced that it had acquired the assets of Intechra Holding Corporation. The IHC assets were purchased from its lender, Marathon Asset Management, through Intechra Group LLC, a newly formed company. Affiliates of Marathon have become significant shareholders in Intechra by converting a substantial portion of Marathon’s debt in IHC to equity in the new company.
In July of 2009, it was announced that the $83 billion Teacher Retirement System of Texas had allocated $400 million to disclocated credit to be managed by Marathon Asset Management LP. The spokesman for the Teacher Retirement System of Texas said that Marathon will be given fairly broad investment discretion, including possibly adding a side pocket to hold investments from the U.S. Treasury Department’s Public-Private Investment Program.
In July of 2009, Marathon Asset Management was named one of the nine firms chosen by the U.S. Treasury for the Public Private Investment Program (PPIP), which will purchase toxic assets from banks.
Marathon Asset Management was among the hedge fund managers listed in the University of Toronto Asset Management Corporation’s annual report in April of 2009.
In July of 2009, Bruce Richards gave an interview with Bloomberg TV. He remarks about the U.S. Treasury’s PPIP, “We think it’s a fantastic program. The U.S. government, U.S. Treasury spent an inordinate amount of time over several months putting out an RFP to the money management industry, and they had 104 applicants.” Marathon was among the nine finally chosen by the Treasury.
In January of 2009, Marathon Asset Management LP named five new partners among which are Andrew Rabinowitz, Richard Ronzetti, Jon Halpern, Steve Kim, and Adam Phillips.
Mr. Richards was a Keynote speaker at the 2009 Leaders in the Distressed Market Forum (January 2009).
An article from December of 2008 claims that “liquidation funds are being adopted by big-name funds like Bruce Richards’ Marathon Asset Management.” The article goes on to say that Marathon, which has $10 billion in assets, recently adopted the liquidation trust strategy with at least two of its hedge funds, including its Marathon Master Fund and the Marathon Special Opportunity Fund.
An article from November of 2008 identifies Andrew Rabinowitz as the chief operating officer of Marathon Asset Management. In the article, he says that by implementing better record keeping and an internal code of ethics, hedge funds are improving their business model and adding value for their clients.
According to Bruce Richards, the depth and extent of the recession in the U.S., where the global financial crisis began, could last for six consecutive quarters with a peak-to-trough spread of between 6 and 10%. (November 2008)
In an article from September of 2008, Bruce Richards is quoted about Marathon’s new location at One Bryant Park, “Marathon Asset Management aspires to be a thought leader in socially responsible corporate actions, which starts with the premier environmentally responsible building, a milestone for eco-friendly development in New York.”
Marathon Asset Management hired Mark Kleinman as Senior Managing Director in June 2008. Bruce Richards is quoted, “We are very excited to add mark to Marathon’s Senior Leadership Team. He is a highly respected member of the financial community and brings extensive experience and high caliber industry knowledge to Marathon. Mark’s expertise and background will make him an important contributor to the ongoing growth of the firm.”
In June 2008, Sadie Gurley of Marathon was quoted about homeowners refinancing and how some companies can offer better terms to struggling homeowners.
“US bankruptcy court judge Richard Schmidt confirms a plan to take Pacific Lumber Co out of Chapter 11 bankruptcy proceedings and have it be acquired by hedge fund Marathon Asset Management and Mendocino Redwood Co, subject to some modifications.” (June 7, 2008)
Marathon Asset Management is a shareholder in Doral Holdings. Doral sold Bear Stearns to JP Morgan earlier this year.
In May of 2008, New York-based Marathon Asset Management announced the launching of The Marathon Corporate Credit Partners LLP fund, which will invest in distressed and discounted debt.
Witan Investment Trust looks to active UK-managers with the appointment of Artemis Investment Management and Marathon Asset Management to run active UK equity mandates on its behalf. (May 8, 2008)
Harvard University’s endowment wants to acquire Pacific Lumber Company and bring it out of bankruptcy. Their price would top that offered by hedge fund Marathon Asset Management.
Marathon Asset Management L.L.C., a private-equity fund, acquired two nonferrous diecasting operations and an aluminum automotive component manufacturer, all of which it plans to incorporate with its Contech L.L.C. holding. (May 1, 2008)
Marathon opened its first office in Turkey in April 2008.
Bruce Richards commented on the sour equity and credit market. “We think it’s the single greatest opportunity for distressed investing in 17 years,” said Bruce Richards, chief executive of the fast-growing firm. He called the current market “a confluence of events that hasn’t happened since 1991,” when widespread savings bank failures led to the creation of the Resolution Trust Corp., a government-backed entity that bought troubled loans. (April 10, 2008).
In April of 2008, Bruce Richards said that his firm had purchased more than $1 billion in residential real estate loans and that he expected Marathon to buy another $1 billion in the upcoming year.
Numerous articles quoted Bruce Richards about the state of the economy and the way distressed investors can capitalize on it. (2008)
An article from March of 2008 identifies Marathon Asset Management as an SEC-registered investment firm with $11 billion in assets spread across six hedge funds and five collateralized debt obligations. The firm’s flagship product is Marathon Special Opportuntiies Fund, a global distressed securities fund with $2.9 billion in assets under management.
HELP USA to Honor Marathon Asset Management CEO Bruce Richards at Annual Tribute Awards Dinner on March 6, 2008.
“For Marathon Asset Management founders Louis Hanover and Bruce Richards, investing is a race of discipline, endurance — and opportunism.
For Louis Hanover and Bruce Richards, co-founders of New York–based Marathon Asset Management, the subprime market meltdown has been a little frustrating. To their credit, Marathon, which manages more than $10 billion in hedge funds and employs 165 people, escaped the carnage. Its flagship $3.1 billion Marathon Special Opportunity Fund, which invests in high-yield bonds, bank debt and other potentially distressed securities of companies in the midst of bankruptcies, restructurings or turnarounds, was up 6 percent in 2007. Even the $1.7 billion Marathon Structured Finance Fund, which specializes in asset-based lending — one of the hardest hit parts of the market — managed to stay in the black, up about 2 percent.” (Feb. 18, 2008)
Bruce Richards spoke at Argyle’s 2008 Leadership in the Distressed Markets Forum in February 2008.
In August 2007, an article was found stating that Marathon Asset Management intends to launch a fund to buy distressed mortgage-related and subprime debt.
In February of 2007, Rick E. Smith and Steve Paton joined Marathon Asset Management LLC, both formerly with Mortgage Lenders Network USA, Inc.
In January 2006, The Structured Finance Group of Marathon Asset Management closed a $17,700,000 senior first mortgage loan for the acquisition and redevelopment of 500 Bic Drive, a 623,746 SF warehouse/industrial facility located in Milford, CT.
In June 2005 Marathon Asset Management, LLC and its investment group, Marathon Real Estate, announced that it is the lead equity investor in the $285 million total cost projected to build the largest hotel development in San Antonio’s history. The 885,000 square foot, 1,000-room hotel will be adjacent to the downtown Henry B. Gonzalez Convention Center. Marathon Real Estate is a division of Marathon Asset Management, LLC, a global alternative investment and asset management company with $4.3 billion in capital. FaulknerUSA will develop the project and make an equity investment.
In January 2005 Urgo Hotels, a major developer, owner and operator of upscale hotels, announced that, in partnership with the Real Estate Group of Marathon Asset Management, it will begin construction of a $45 million (US$36.7 million), two-hotel complex at the Montreal International Airport in May 2005. The 330-room development will consist of a 170-unit Residence Inn by Marriott and a 160-room Courtyard by Marriott, built on a 7.1-acre land parcel at Trans-Canada Highway exit 63 and Cavendish Boulevard.
In January 2005 the creditors of Mexican phone company Iusacell demanded the immediate payment of US$150mil in a New York court. The demand is against Iusacell, its subsidiaries and the syndicate, which holds its bank debts. Marathon Asset Management heads the latter. The demand is a reflection of the concerns of the creditors about recent revelations about some of the financial dealings of the company during the restructuring of Unefon, and the lack of transparency surrounding them. There is the perception that these have violated the US Sarbanes-Oxley law. Iusacell failed to make an interest payment on bond issue in 2004, which has provoked the demand from its creditors, which also includes a demand that the company refrain from undertaking any kind of restructuring which could affect the interests of the creditors.
Marathon Asset Management LLC purchased Refco’s London operations (Refco Overseas Ltd) from MAN Financial Inc, who bought Refco LLC in 2005.
In October 2004 the Structured Finance group of Marathon Asset Management, announced it had closed on a $6,765,000 loan to acquire the unsold condominium units at Villa at the Woods, a 183-unit condominium complex in Peekskill, New York. Also that month Structured Finance Group of Marathon Asset Management announced it has closed on a $10,500,000 mezzanine loan to Beacon Ventures which will allow Beacon to acquire a portfolio of 8 warehouses and office properties located in Charlotte, Raleigh and Greensboro, North Carolina. The total cost of the acquisition is $58,000,000.
Bruce J. Richards and Louis T. Hanover, New York, started Marathon Fund, L.P. on March 1, 1998 and Marathon Fund Ltd. on April 1, 1998. The $43 million funds use a top-down approach to analyze the mortgage-backed, asset-backed and emerging markets and a technical, bottom-up analysis to invest in relative value and arbitrage opportunities in these markets. Mr. Richards was previously head of the mortgage backed division and Mr. Hanover managed the emerging markets debt business at Smith Barney.
Bruce Richards and Louis Hanover contributed a chapter to Evaluating and Implementing Hedge Fund Strategies: The Experience of Managers and Investors, 3rd edition.
Among the funds under management of Marathon Asset are Marathon Global Convertible Fund, Marathon Master Fund, Marathon Special Opportunity Fund, and Marathon Structured Finance Fund, Ltd.
Marathon Asset has holdings with PTEK Holdings Inc.
The Marathon Special Opportunity Fund (MSOF) specializes in distressed debt, capital structure arbitrage and the short selling of debt after pricing and accounting of the bonds intrinsic value. Total assets under management are about $470 of which $170 million is in the MSOF.
Bruce Richards is on the Board of Directors for Bat for the Cure, an organization whose mission is to increase the public’s awareness of prostate cancer and to educate the American people about cutting edge techniques in treatment, prevention and detection.
Mr. Richards and his wife, Avis, are on the Board of Trustees for R Baby Foundation. https://www.karma411.com/Markslist/documents/ext/rba/RBabyBoardBios.pdf.
Mr. Richards is on the National Advisory Board for Youth, Inc.