IndyMac sells branches

Most of the company's mortgage branches are going to a two-year-old outfit called Prospect Mortgage, which says it specializes in buying midsize residential lenders. Here's the release. Terms were not disclosed - nor were any details, other than the deal involves 60 branch offices. The Business Journal reports that IndyMac executives had been working on the sale since last week. Prospect is backed by Sterling Partners, a private equity fund based in Chicago and Baltimore ("The new path to mortgage industry success," trumpets its Web site). Earlier today, several analysts expressed doubts that IndyMac would make it through the current troubles. "Next stop, receivership," wrote Jason Arnold, of RBC Capital Markets, who called IndyMac’s survival "increasingly unlikely." Well, it needn't go that far, though the fire sale appears to be on.