The Dallas private equity firm Lone Star Funds said Friday that it had completed its acquisition of Accredited Home Lenders Holding Co., of San Diego, for $296 million, or $11.75 a share, and has appointed six new members to Accredited's board.
Two Accredited executives, including James Konrath, the chief executive, remain on the board and three directors have resigned.
It has taken five months for the deal between Lone Star and Accredited to close. Lone Star tried to back out of the original $400 million deal in August citing the "drastic deterioration in the financial and operational condition" of Accredited. But Accredited sued to enforce the deal and the private equity firm offered to pay $8.50 a share.
Accredited rejected that offer but the two companies ultimately came to an agreement.
Accredited has warned that it might not be able to resume mortgage lending because of a lack of liquidity. Last month, it said it was no longer accepting new loan applications. The company has closed most of its operations and cut 1,600 of 2,600 jobs.
