Outsourcing Solutions Inc. (OSI), the nation’s largest receivables management company, announced that it has selected the Sherman Financial Group, LLC of New York as its exclusive agent for the purchase of distressed consumer debt.
Under the terms of the affiliation, Sherman Financial will manage the acquisition of debt and OSI will purchase and service it, primarily through its Account Portfolios, Inc. division. The firm will purchase consumer debt from a variety of industries, including credit card, health care, student loans, telecommunications and utilities.
Bryan Faliero, OSI Senior Vice President of Portfolio Operations, noted that the joint effort would further expand OSI’s already significant portfolio management capabilities. “Sherman has extensive experience in capital markets and asset acquisition. Its expertise, combined with OSI’s receivables management capabilities, make this affiliation an important part of our continuing growth. Together we will be better able to structure transactions for various types of distressed assets with flexible terms that recognize sellers specific needs,” Faliero said.
Sherman Financial’s managing director, Benjamin Navarro, said that as OSI’s exclusive debt acquisition affiliate it would develop and manage relationships with financial companies nationwide. “Sherman specializes in structuring transactions that address the unique situations faced by sellers of distressed debt,” Navarro said. “Our affiliation with OSI enhances our ability to focus on client needs and offer competitive pricing and superior service.”
OSI was formed in September 1995 by McCown De Leeuw & Co., a private equity firm with offices in New York and Menlo Park, California, to become one of the leading companies in the highly fragmented and rapidly consolidating credit collections industry. In addition to Atlanta-based Account Portfolios, Inc., it has acquired The Continental Alliance, Seattle, a contingent collection agency; A.M. Miller, Minneapolis, a contingent collection agency; Payco American Corp., Milwaukee, a multi-line firm providing contingent collections and outsourcing services to credit grantors in a wide range of industries; Accelerated Bureau of Collections, Englewood, Colorado, a contingent collection agency; and North Shore Agency, Great Neck, New York, one of the largest providers of letter series collection and billing services to direct marketers, utilities and cable companies. OSI also has initiated a tender offer to acquire The Union Corporation, Charleston, South Carolina, which operates collection agencies and provides credit usage and receivables management outsourcing services to major corporations.Details