Obsidian’s advisory services often include one or more of the following: advising investment banks or other large interests in the process of debt and equity placement in special situations; advising in situations that involve bankruptcy, insolvency or distressed assets; or providing restructuring, asset management or liquidating trustee services. Obsidian's various fields of expertise allow a unique position from which to address the myriad of issues facing companies during dramatic corporate change or financial difficulty. In these situations, Obsidian's objective is to minimize asset deterioration and preserve the long-term value of the company. In a liquidation scenario, Obsidian has proven its ability to maximize the value of the assets for the benefit of DIP lenders, creditors, shareholders, and bondholders. Obsidian's advisory services often include evaluation of the proposed business or turnaround strategy, valuation analysis of the business, its components and assets, and assessment of the financial alternatives available for consideration. Providing advisory services in varying capacities has been integral to Obsidian’s ability to identify investment opportunities that may have otherwise gone unnoticed.
- Obsidian has advised certain hedge funds and Wall Street investment banks in their analysis of opportunities in the subprime mortgage industry.
- Engaged by bond indenture trustees – junior lien holders of the assets of a bankrupt mortgage lender – to act as their advisor, Obsidian structured and executed a transparent public auction sales process for securitization residuals.
- Obsidian was retained by a major Wall Street investment bank and a major hedge fund to assist in the structuring of a DIP facility. Subsequently, Obsidian was appointed the Asset Manager to the Liquidation Trustee and recovered more than double the plan’s estimate, paid the DIP lenders in full and made significant distributions to the Liquidating Trustee.