Bloomberg reported that Lone Star Funds has agreed to buy $1 billion in commercial loans from CIT Group Inc., according to a person with knowledge of the sale.
 
According to this report, Lone Star, a Dallas-based private equity firm, is purchasing mostly senior secured loans, and junior secured debt in approximately 72 companies, according to the unnamed source.

As reported, CIT sold more than $3.5 billion of lower-yielding assets in 2011, according to a presentation from JPMorgan Chase & Co.’s Global High Yield & Leveraged Finance conference in February.

Lone Star Funds acquires distressed debt and equity assets including corporate, commercial real estate, single family residential and consumer debt, according to its website.