Delaware Life Swaps $6.5 Billion in TWG-Linked Assets as Mark Walter Seeks Cash
Updated
Updated · Financial Times · Aug 18
Delaware Life Swaps $6.5 Billion in TWG-Linked Assets as Mark Walter Seeks Cash
3 articles · Updated · Financial Times · Aug 18
Summary
Delaware Life said it will exchange $6.5 billion of assets tied to TWG affiliates for unrelated investments, part of a regulator-backed effort to clean up insurer balance sheets.
More than $10 billion of affiliated investments will still remain across Delaware Life and another TWG-controlled insurer after the swap, underscoring the scale of the exposure under scrutiny.
Federal prosecutors are examining whether investment practices across Mark Walter’s insurance-to-asset-management empire complied with US law after insurers disclosed over $20 billion of related-party loans.
Walter had also discussed a multibillion-dollar Apollo loan backed by his Los Angeles Lakers stake before agreeing last week to sell that majority stake at a $12.5 billion valuation.
The scrutiny has rippled beyond TWG: a Guggenheim unit plans a lender call after an unexpected second-quarter revenue decline, while its 2031 term loan traded at 83 cents on the dollar.