DEALTALK-CIT assets attractive but only to bargain hunters
(For more Reuters DEALTALKS, click [DEALTALK/])
* Transportation, trade finance among attractive assets
* Tough market to sell; potential bankruptcy a challenge
* Private equity unlikely to show much interest
By Paritosh Bansal and Jui Chakravorty Das
NEW YORK, July 15 (Reuters) - Many of CIT Group Inc's (CIT.N: Cotización) businesses, including trade and transportation finance, could be of interest to potential buyers as the commercial lender stares at the possibility of bankruptcy.
But this is a bad market in general for CIT to be selling any assets as the economic downturn has hurt many of its markets badly, driving down values.
Disposals under distress would not only draw firesale prices but could also lead to legal challenges down the road, investment bankers said.
The chances of a bankruptcy were heightened on Wednesday when CIT, a major lender to small- and mid-sized U.S. businesses, said the government had told the company that it was not going to provide additional support and that bailout discussions had ceased. Continuación...