• The US Bankruptcy Court for the District of Delaware recently revealed an agreement between Alameda Research and N Abu Dhabi sovereign wealth fund, wherein Alameda Research sold its interest in Sequoia Capital to the Purchaser.
• The judge had previously allowed FTX to sell assets owned by it after bankruptcy filing and approved a $445 million claim by Alameda Research on Voyager Digital regarding loan repayments.
• FTX has been attempting to raise cash since Binance stopped processes to buy the exchange and the recent sale of Sequoia interest could help them recover more than $5 billion in liquid crypto assets and cash.
FTX Exchange’s Saga Continues After Bankruptcy Proceedings
The saga of the FTX exchange, its sister company Alameda Research, and former CEO Sam Bankman-Fried continues following the bankruptcy proceedings. So far, There have been many discoveries, rejected pleas, and sales of assets by these parties.
Sale Of Interest In Sequoia Capital By Alameda Research
The latest development is selling Alameda Research’s interest in Sequoia Capital to N Abu Dhabi sovereign wealth fund. A recent court document by the US Bankruptcy Court for the District of Delaware revealed the agreement between the parties. One of the reasons for agreeing to the sale was the speed at which the Purchaser would execute it. Also, Al Nawwar Investments RSC’s offer was superior to four other prospective buyers making it best option for Alameda Research. Notably, The Purchaser is a company under Abu Dhabi government which already owns some shares of Sequoia and deal with Alameda is worth $45 million which might be close by end of March if Delaware bankruptcy judge John Dorsey approves it.
Approval Of Assets Sale By Judge John Dorsey
The judge had participated in all legal proceedings related to FTX and even allowed it to sell some of its assets after bankruptcy filing including LedgerX, Embed, FTX Europe and FTX Japan etc., through which they can recover more than $5 billion in liquid crypto assets and cash. On March 8th 2021 judge also approved a $445 million claim by Alameda Research on Voyager Digital regarding loan repayments as well as other attempts made by SBF (Sam Bankman-Fried) after Binance stopping process to buy this exchange such as asset sales etc., that can bring enough funds to pay creditors .
Recent Agreement To Sell Interest In Sequoia
Alameda research recently agreed upon selling its share in Sequoia capital that can help them raise funds required for paying creditors with approval from Judge John Dorsey this deal might be closed before end of march 2021 .
Conclusion
FTX has been trying hard since November 2020 when Binance stopped process for buying this exchange; through asset sales ,claims approvals etc., court has been helping them along so far but most important being this agreement with Abu Dhabi government that can bring around 5 billion dollar funds required for clearing creditor’s dues .