Before the deal moves forward, FTX has to receive the approval of the US Bankruptcy Court.
Bankrupt crypto exchange FTX has revealed that it has entered a purchase agreement with M7 Holding, an affiliate of Miami International Holdings, to sell its futures and options exchange and clearinghouse, LedgerX.
According to the press release shared on April 25th, the acquisition is valued at approximately $50 million.
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However, it is worth noting that before the deal is set to move forward, it first has to be approved by the United States Bankruptcy Court for the District of Delaware. The hearing regarding the matter is set to take place on May 4th.
M7 Holding, an equity investment firm based in Akron, Ohio, is affiliated with Miami International Holdings. The latter operates numerous exchanges within the United States and internationally, including the Minneapolis Grain Exchange and the Bermuda Stock Exchange.
John Ray III, FTX CEO and chief restructuring officer, referred to the sale as an example of the company's ongoing efforts to monetize assets to deliver recoveries to stakeholders.
We are pleased to reach this agreement with MIH, which is an example of our continuing efforts to monetize assets to deliver recoveries to stakeholders.
In January, the bankruptcy court approved the sale of LedgerX and other FTX-related firms, like Embed, FTX Japan, and FTX Europe. On April 12th, a Swiss court granted FTX approval to sell its European business.
It is believed that after the court approved the sale of FTX-related firms, there were 117 parties expressed interest in acquiring the firms.
FTX.US acquired LedgerX in August 2021, which allowed it to expand its spot trading services. LedgerX is regulated by the US Commodity Futures Trading Commission (CFTC).
The anticipated sale of LedgerX to an affiliate of Miami International Holdings for $50 million demonstrates FTX's commitment to monetizing assets and delivering recoveries to stakeholders.
