In order to maximize repayment to creditors, Anthropic liquidated its remaining 15 million FTX shares for $450 million.
Under the leadership of CEO John Ray III, the FTX Estate sold the last 15 million Anthropic shares of FTX for $30 each, collecting more than $450 million. The original investment of $500 million by FTX has grown into a total of about $1.3 billion, including around $800 million in earnings.
G Squared, a worldwide venture capital firm, was the largest bidder, paying $135 million for 4.5 million shares. Venture capital funds made up the bulk of the other 20 purchasers. This is the second auction; the price per share was $30 for the shares sold in March.
In order to pay back creditors as much as possible, Anthropic is selling off its FTX shares. The Supreme Bankruptcy Court of the United States District Court for the District of Delaware swiftly authorized the arrangement. Faster payments to creditors were among the primary goals of the procedure, which FTX claims was carefully crafted to benefit all parties involved.
Creditor Mr. Purple has estimated that the whole cost of the FTX bankruptcy, including legal and administrative expenses, exceeds $700 million. Because of its history of representing FTX, the primary bankruptcy law firm, Sullivan & Cromwell, has come under fire for what some see as possible conflicts of interest. It faced demands for a third-party investigator and a class action lawsuit, which it had to rebut.
Far more than the $11 billion owing to around two million customers and other creditors, FTX has managed to capture $16.3 billion in cash for distribution, despite the firm’s best efforts. In a first for US bankruptcy proceedings, the exchange intends to reimburse 118% of the permitted claims.
At an hourly rate of $1,300, FTX CEO John Ray III billed the estate $5.6 million for his services. It is clear from the estate’s strategy that it is serious about paying back creditors and getting the bankruptcy settled quickly.
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