According to reports, the crypto exchange stated that the Court of Bankruptcy of the United States in New York has agreed to authorize the entry of Voyager Digital into the asset acquisition agreement between Digital Voyager and FTX US.
What Are The Acquisition Plans?
From the press release, FTX US’s acquisition agreement is worth over $1.400B, to be used to execute two significant projects.
First, there is a projected $1.311 billion equitable current worth of all Voyager cryptocurrencies at the market price on September 26th will be decided at a later time before the auction closes. Secondly, an extra payment is anticipated to increase the value to creditors by about $111 million.
Statement from Voyager Digital further mentioned that The bankruptcy estate would continue to hold Voyager’s allegation towards Three Arrows Capital, and money recovered based on those charges would be offered for further disbursement to creditors of Voyager.
After the clearance, Voyager Digital will conduct a client vote to determine the overall strategy for carrying out the transfer to FTX US.
According to the report, the company fixed November 29th as the voting deadline for the plan. It further said all creditors eligible to vote on the project, including consumers, will get solicitation packages in the days ahead from their claims agent, Stretto.
Previous Attempt To Acquire The Firm
The most recent move occurred almost three months after Voyager Digital rejected a unified offer by affiliated trading business Alameda and FTX US, describing it as a lowball proposal that may impede the firm’s bankruptcy proceedings.
Voyager Digital previously described FTX-Alameda’s move to acquire the company as one that will only benefit them alone. In a filed court document, Voyager’s attorneys responded to the offer by calling it a lowball offer disguised as white knight assistance.
Before the rejections, Voyager Digital attempted to increase the worth of its stakeholders and execute a reorganization program by submitting a willful petition for relief according to the United States Bankruptcy Code, Chapter 11.
In July, a joint letter from the American central bank, FDIC (Federal Deposit Insurance Corporation), FED (Federal Reserve) asked that Voyager Digital refrain from making untrue and deceptive assertions concerning its FDIC deposit insurance status and take steps to make these statements fair. This allegation might have further worsened their downfall.