Abu Dhabi’s investment arm has been given the green light to purchase FTX’s assets in Sequoia Capital Fund for $45m, following approval from a Delaware bankruptcy judge.
Al Nawwar Investments RSC Limited will acquire the bankrupt company’s assets as part of its attempts to recoup missing customer funds, which includes selling off various assets like derivatives arm LedgerX and the company’s European and Japanese units.
In March 8th declaration, Judge John Dorsey stated that the sale to Al Nawwar Investments RSC Limited was in compliance with US bankruptcy law that set restrictions on unduly hasty divestment of assets. FTX had also requested an indefinite delay to the sale of its stock-clearing business, Embed, which was initially conceived as a quick way to raise funds for outstanding creditors.
The sale hearing for Embed, previously scheduled for February 27th but subsequently postponed, will now be put on hold “until further notice,” according to a separate court document that did not provide any further reasoning for the delay.
FTX filed for bankruptcy on November 11th and has since been under the management of restructuring expert John J. Ray III in its attempts to recover missing customer funds.
