Cryptocurrency exchange FTX US has secured the winning bid for the assets of cryptocurrency brokerage firm Voyager Digital in an offer valued at approximately $1.4 billion, according to Voyager.
Voyager said the offering consisted of the fair market value of its crypto holdings “at a date to be determined in the future,” estimated at about $1.3 billion along with $111 million of what it says is “incremental value “, but did not elaborate.
Little information was given about what will happen to Voyager customers still waiting for access to their crypto holdings, with Voyager stating that additional information about crypto access “will be shared as it becomes available.”
Today, following a competitive auction aimed at returning maximum value to customers, @FTX_Official USA was selected as the best and highest bidder. Press release linked below. More on what this deal means for customers to follow. https://t.co/OmOd7pvSza
— Voyager (@investvoyager) September 27, 2022
Voyager only mentioned that the FTX USA platform “will allow clients to trade and store cryptocurrencies following the conclusion of the company’s Chapter 11 cases.”
Cointelegraph reached out to FTX and Voyager Digital for further comment, but did not immediately hear back.
The sale of the assets is to be completed after a Chapter 11 plan and an asset purchase agreement is filed for approval with the United States Bankruptcy Court for the Southern District of New York on 19 October
Cointelegraph previously reported that crypto platforms Binance and CrossTower also submitted bids alongside FTX to acquire Voyager’s assets, each proposing their own terms.
A source stated that Voyager clients would receive their proportionate share of crypto assets and transition to the FTX platform if their bid is successful.
Related: Sam Bankman-Fried denies the report that FTX plans to buy a stake in Huobi
Voyager entered Chapter 11 bankruptcy on July 5, sometimes called a “reorganization” bankruptcy, which allows a company to retain control of its assets and continue operating while it plans to restructure or sell the business.
The filing was for insolvency worth more than $1 billion after crypto hedge fund Three Arrows Capital (3AC) defaulted on a $650 million loan from the firm, Voyager says its claims against 3AC remain with the bankruptcy estate.
The company maintains that its Chapter 11 filing was “aimed at returning maximum value to customers” and a reorganization was also considered, but stated that the sale to FTX US was the “best alternative for the stakeholders of Voyager”.