Alameda Research to Sell Sequoia Capital Stake to Abu Dhabi for Over $45 Million in Interest
Alameda Research and FTX have reached a new agreement with Sequoia Capital to sell the remaining benefits to the National Wealth Fund of Abu Dhabi for $45 million, according to the latest update in FTX’s collapsed case.
Sequoia Capital had previously been in a partnership with the National Wealth Fund of Abu Dhabi, but the partnership has since been dissolved. Alameda Research, a subsidiary of FTX, will now sell the remaining benefits in Sequoia Capital to the National Wealth Fund of Abu Dhabi.
According to court documents released in Delaware on March 8th, the decision to sell the remaining benefits in Sequoia Capital was made “based on a superior offer and the ability to conduct the transaction within a short period of time.” Al Nawwar Investments RSC Limited, the buyer of Alameda’s shares, is owned by the government of Abu Dhabi, the capital of the United Arab Emirates. The documents have also revealed the identity of the buyer for the Sequoia investment.
The agreement is valued at $45 million in cash and is expected to be completed by March 31st, pending approval from Judge John Dorsey, who presides over FTX’s collapsed case in Delaware.
The sale of the remaining benefits in Sequoia Capital is part of FTX’s efforts to liquidate its investment accounts and pay off its debts to creditors. The company has been attempting to liquidate various assets, including the LedgerX derivatives platform, the wash trading platform Embed, and regional branches of FTX Japan and FTX Europe.
In January of this year, reports surfaced that FTX had been able to recover some of its crypto assets that had been stolen in a hack. The company claimed to have recovered $750,000 worth of cryptocurrency from the hack, which was believed to be the result of a phishing attack.
FTX has been in the news for a variety of reasons over the past few months, including its recent acquisition of the naming rights to the Miami Heat’s basketball arena. The company also made headlines last year when it became the first cryptocurrency exchange to sponsor a major sports team, signing a deal with the Major League Baseball team the Miami Marlins.
The sale of the remaining benefits in Sequoia Capital is just the latest chapter in FTX’s ongoing efforts to stabilize its financial position and continue its growth trajectory. With the company’s recent acquisitions and partnerships, as well as its continued efforts to recover lost assets and pay off debts, FTX appears to be well-positioned to weather any storms that may lie ahead in the volatile world of cryptocurrency.
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