Carlyle Capital, a unit of private equity firm Carlyle Group, said it hopes the worst of the credit crunch has passed, allowing it to resume paying a dividend, Reuters reports.
Carlyle Capital, a leveraged fund that invests in mortgage-backed securities, got an additional $100 million loan from the Carlyle Group this week to help it weather choppy markets it said were worse than those of 1998.
Listed on the Amsterdam exchange just two months ago, Carlyle Capital scrapped a planned dividend for the third quarter and is selling $900 million of assets to help shore up the fund.
“It looks like credit markets have stabilised and prices are beginning to return to a normal range,” says Carlyle Capital Chief Executive John Stomber.