FTX is looking to sell the majority of its shares in artificial intelligence startup Anthropic to more than 20 buyers, including an Abu Dhabi investment firm and Jane Street Global.
The sale could provide enough funds for the bankrupt crypto exchange to repay creditors affected by FTX's collapse.
FTX to sell more than 29 million shares of its Anthropic stake
According to court documents on March 22, FTX would sell approximately 29.5 million shares of Anthropic to a total of 24 buyers for $884,109,327.
Topping the list of buyers is ATIC Third Investment Company LLC, which is reportedly purchasing 16,664,167 shares for nearly $500 million. ATIC is a company 100% owned by Abu Dhabi's sovereign wealth fund, Mubadala.
Jane Street Global, a global quantitative trading company where FTX founder and former CEO Sam Bankman-Fried previously worked as a trader, will buy 3.3 million shares for nearly $100 million.
Other buyers include some funds managed by Fidelity Management and Research, which will spend $45 million to buy about 1.5 million shares, Craig Falls and the Ford Foundation, among others.
Although the proposed sale is subject to bankruptcy court approval, any objections must be filed by April 1, 2024.
More funds to repay FTX creditors
In 2021, FTX invested $500 million in Anthropic, giving the bankrupt cryptocurrency exchange a 7.8% stake in the AI startup.
FTX's investment value more than doubled in 2023 to around $1.4 billion after Anthropic's value skyrocketed, coupled with increased interest in the artificial intelligence sector. In February 2024, FTX obtained court approval to sell its stake in Anthropic, which had been discontinued in June 2023.
In addition to the proceeds that would come from the proposed sale of Anthropic shares, FTX also has $6.4 billion in its reserves. The funds could allow creditors of the bankrupt crypto company to be repaid in full.
Unlike its profitable Anthropic investment, FTX's proposed sale of one of its Digital Custody subsidiaries will result in a significant loss.
The cryptocurrency exchange purchased Digital Custody for $10 million. However, following the stock market collapse in November 2022, the subsidiary would be sold for $500,000 to CoinList, whose CEO Terrence Culver had initially made the sale to FTX.
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