• Judge John Dorsey has cleared FTX to sell four of its key units in order to raise funds to repay creditors.
• Interested buyers may officially begin to indicate their interests between January 18 and February 1.
• Court documents show that more than 117 buyers already have an interest in the sell-offs.
FTX, a former major force in the crypto industry, filed for bankruptcy in November 2020, hoping to raise enough funds to repay creditors. Bankruptcy judge John Dorsey has recently cleared FTX to sell four of its key units in its bid to raise the necessary funds. These units include FTX Europe, FTX Japan, its derivatives arm LedgerX, and Embed – its stock-clearing platform.
The sell-offs will be overseen by investment bank Perella Weinberg, and notices will be made available to the public within three working days. Additionally, interested buyers may officially begin to indicate their interests between January 18 and February 1. Court documents reveal that more than a hundred buyers have already expressed their interest in the sell-offs, with many more expected to join in within the given timeframe.
As the sell-off process begins, FTX is hoping to receive the best possible prices for its units. This will help to ensure that the creditors will be able to receive their due payments. FTX is also hopeful that the buyers that have already expressed interest in its units will be willing to commit to their offers and help to keep the process on track.
It remains to be seen whether FTX will be able to successfully raise enough funds to repay its creditors. However, with hundreds of buyers already interested in the sell-offs and the process now underway, the exchange is one step closer to achieving its goal.