In a bid to reimburse creditors, bankrupt crypto exchange FTX is seeking court approval to sell its stake in AI firm Anthropic.
FTX has filed a motion in the US Bankruptcy Court for the District of Delaware to sell its 8% equity stake in Anthropic. The urgency of the matter is highlighted by a second motion filed by the company, which seeks to expedite the deliberation period for the first motion with the hope of getting a hearing by Feb. 22.
Anthropic, valued at $18 billion in December 2023, is working on large language models similar to GPT-3. FTX’s 8% stake could be worth over $1.4 billion in the current market.
A court-sanctioned transaction for maximum value
The proposed sale is not just an asset liquidation but a court-sanctioned transaction aiming to maximize value for FTX’s stakeholders. If approved, it would implement sale procedures advocating for transparency and competition in bidding.
FTX is considering various avenues for the sale, including auctions or private negotiations. The company aims to ensure a fair and opportunistic process while preserving shareholder value in the volatile AI market.
Timing and potential objections
Timing plays a crucial role as AI technology continues to attract investment and witness value appreciation. FTX has set Feb. 15 as the cutoff date for any objections to its request.
Hot Take: FTX Seeks Court Approval to Sell Stake in AI Firm Anthropic
In an effort to repay creditors, bankrupt crypto exchange FTX is seeking court permission to sell its 8% stake in AI company Anthropic. The urgency of the matter prompted FTX to file a motion requesting an expedited deliberation period. Anthropic, valued at $18 billion, is working on large language models and FTX’s stake could be worth over $1.4 billion. The proposed sale is not a regular asset liquidation but a court-sanctioned transaction to maximize value for stakeholders. FTX is exploring various sale avenues and aims to ensure fairness and preserve shareholder value. Timing is crucial as the AI sector continues to attract investment, and objections to the request must be made by Feb. 15.
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