The deadline to tender residential mortgage-backed securities insured by Syncora Guarantee Inc. was once again extended, to 11:59 p.m. Wednesday night.

The tender offer is part of Syncora's plans to reduce its $2.4 billion policyholders' deficit and meet its minimum statutory capital requirements. It last week completed the other major part of its efforts when it executed an agreement with 25 financial counterparties to commute or restructure $56 million in credit-default swap exposure.

Syncora needs to complete both the tender offering and the counterparty agreements to remedy its capital position. The New York Insurance Department said the agreement with counterparties represents "significant progress" and it continues to evaluate the results of the tender offer, a spokesman said.

Regulators in April issued an order requiring Syncora to take "steps as may be necessary" by May 29 to meet minimum capital requirements. The bond insurer last month suspended its claims payments as required by the order.

BCP Voyager Master Funds SPC Ltd., acting on behalf of and for the account of,the Distressed Opportunities Master Segregated Portfolio, will purchase the RMBS securities. Syncora Guarantee will provide financing of up to $375 million.

The aggregate principal amount of RMBS that have been tendered did not change after Syncora last extended the offer to June 1 from June 2. Syncora said agreements had been received to remediate RMBS exposures with a value of 27.4 remediation points, below the 72 remediation points needed to complete the deal.

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