The court filing stated, “The Bid Procedures were proposed in good faith by the Debtors, are fair, reasonable and appropriate under the circumstances and are properly designed to maximize the recovery from any sale of the Businesses.”
John Dorsey, the federal judge in charge of FTX’s bankruptcy case, approved the firm’s plans of selling four solvent business units.
The news came less than a week after FTX recovered $5B in cash, liquid crypto, and liquid securities.
Following the judge’s approval, FTX can receive bids and auction off LedgerX, Embed, FTX Japan, and FTX Europe to repay its clients. The judge also authorized FTX to choose a stalking horse bid for each business to maximize the value of its assets and avoid low bids.
Investment banking firm Perella Weinberg Partners will be in charge of initiating the sale procedure for the four businesses. Recent Court documents revealed that 117 parties contacted FTX to purchase its assets. Moreover, FTX has signed confidentiality agreements with 59 counterparties.
