As a crypto investor who closely follows the developments in the digital asset space, I’m keeping a close eye on the latest news regarding FTX and its sale of its stake in Anthropic. This announcement comes as a relief for many, including me, given the ongoing FTX bankruptcy case that has left many parties affected.
As of June 1, FTX Exchange no longer holds a stake in Artificial Intelligence (AI) firm Anthropic.
FTX Gains $800M From Sales of Anthropic Stake
According to the recent filing with the bankruptcy court, John Ray III and the FTX Estate have sold their last ownership shares in Anthropic.
As a researcher, I’ve observed that prior to this point, FTX held approximately 15 billion Anthropic shares remaining, with each share priced around $30. Consequently, the total proceeds from this sale amounted to roughly $450 million. It is important to mention that during this second sale, each share was transacted at the identical price as the earlier sell-off which took place in March.
Since its founding in 2021, the Bahamian exchange has invested a significant amount of $500 million in the AI company. At that time, this was a substantial investment. However, through various sales, including the recent one, the exchange has gained approximately $800 million in return, bringing its total profit from the Anthropic investment to around $1.3 billion.
Due to the financial strain caused by the FTX bankruptcy case, the company found itself in a position where it needed to consider selling its ownership in Anthropic as a means to cover mounting costs, including legal fees and administrative expenses, which were accumulating in the millions. Furthermore, creditors affected by the FTX collapse were eagerly anticipating reimbursement. With these pressing financial obligations, the company was left with no other viable alternative but to seek approval from the bankruptcy court for the sale of its stake in Anthropic.
A Necessary Selloff
As a crypto investor, I believe FTX’s approach to handling the Anthropic stake liquidation was the most effective way to ensure that all creditor payments were processed fairly and without leaving any parties at a disadvantage.
Within a few weeks, the United States District Court for the Delaware’s Supreme Bankruptcy Court gave its approval to FTX’s motion. For their initial sale, FTX reached a deal with a consortium of institutional investors, comprising ATIC Third International Investment Company LLC and Jane Street, to purchase $884 million in Anthropic shares.
In the most recent stock purchasing phase, G Squared, a prominent global venture capital firm, acquired the largest share with a purchase of approximately 4.5 million stocks. This equates to around one-third of the remaining shares, costing them an overall investment of $135 million. The other 20 entities involved in the sales were primarily venture capital funds.
In the interim, the expenses related to FTX’s insolvency, which encompass both legal and administrative charges, have surpassed the $700 million mark. Nonetheless, Ray III remains committed to reimbursing FTX clients in a timely manner.
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2024-06-01 22:47