In December 2004, Advent led a leveraged recapitalization of National Bankruptcy Services (NBS), the No. 1 U.S. provider of bankruptcy monitoring and processing services to secured lenders.
Serving many of the country's largest mortgage and automotive lenders, NBS focuses on Chapter 7 and Chapter 13 bankruptcy proceedings and foreclosure cases. Revenue is generated through fee-based outsourcing agreements with mortgage banking and servicing companies, major financial institutions, credit unions and other consumer lending organizations.
With over 300 bankruptcy courts and judges and 250 trustees, the personal bankruptcy process in the U.S. is highly complex. NBS has developed a proprietary software system to manage the intricacies of the process more efficiently and improve recovery rates for its customers. Consequently, the company can deliver significant savings to its clients.
Looking ahead, rising consumer debt levels, coupled with potential legislative changes, are expected to drive an increase in personal bankruptcy filings. As a result of its scale – NBS is four times larger than its nearest competitor – and industry-leading technology, the company is well-positioned to expand its market share and capitalize on this growth trend.
NBS was acquired by Brazos Private Equity Partners in January 2012.