Brea-based subprime mortgage lender ResMae Mortgage Corp. has exited from bankruptcy protection, the company said on Friday.
The company re-emerges as a unit of RMC Mortgage Holdings, an affiliate of hedge fund Citadel Investment Group LLC.
Earlier this month, Delaware’s bankruptcy court approved ResMae’s plan of reorganization, which involved the $180 million sale of its lending operations and loans to Chicago-based Citadel.
The company continues to make subprime loans. It said it will seek to make better quality loans by strengthening its credit review process.
ResMae filed for bankruptcy in February and announced an agreement to sell its assets to Citadel on March 6. The hedge firm beat out an earlier bid from Credit Suisse Group for the lender’s assets.
ResMae has laid off about 185 workers in Orange County this year, according to state employment records.
