No deal (yet) in acquisition talks between crypto lenders nexo and its rivals wold, while the latter has less than a month to present a restructuring plan to creditors. That said, there is conflicting information coming from both sides.
Multiple news outlets have reported that the deal has been scrapped altogether – although it is unclear by whom, how, or when. However, the same reports state that Nexo has reportedly said that talks are still on.
in a brief statement for cryptonews.comTroubled Singapore-based crypto lender Would said that,
To provide a very brief summary, our discussions with Nexo have unfortunately not come to fruition.
To In a Bloomberg report, Wald said the same thing in an email to creditors on Monday.
While it may mean that, it doesn’t mean that the whole deal is closed – leave the issue ambiguous. cryptonews.com TechCrunch reached out to Vauld and Nexo for further clarification but did not receive a reply by publication time.
Kalin Metodiev, co-founder and managing partner of Nexo, said: cryptonews.com He,
“Nexo has not given up on its endeavor to save Vault and help its creditors recover the maximum possible platform funds. However, as industry leaders we are dismayed to see a handful of individuals who are pursuing a self-serving agenda. trying to hijack the narrative and bar creditors from making their own best judgment. We were hoping that the bad actors had mostly left the blockchain space, but it is clear that, as a community , We still have work to do.”
Meanwhile, wrote Bloomberg, Nexo said it submitted a revised offer for the acquisition to Wold on December 2, but also wrote in a letter to Wold creditors that there were “challenges” during these five months of negotiations. – Including “defamation” and “spreading misinformation on social media.”
The report quoted Nexo as saying,
“We are dedicated to offering the most favorable recovery path to creditors. […] Nexo is determined to continue working for the benefit of creditors […],
Meanwhile, Nexo announced Earlier this month it will exit the United States after the company was unable to reach an agreement with regulators. It will “slowly and systematically phase out its products and services in the country” over the coming months.
Bloomberg called the decision an “obstacle to a settlement” between the two lenders, as Wold said it would leave more than 40% of its US customers without full access to “the benefits of the acquisition”. It further claimed that Nexo did not respond to queries regarding the issue.
A possible deal between the two companies was revealed in July this year. Walld CEO Darshan Bathija announced that the lender had signed “an indicative term sheet” with Nexo to buy “up to 100% of the vault”.
as Reported In July, Vault suspended all withdrawals, deposits and trading, citing “financial challenges” amid sluggish market conditions, after laying off 30% of its workforce last month. It then appointed consultants to look into possible restructuring.
Wald has until January 20 to present its restructuring plan.
the same month Said that its legal counsel filed an application in the Singapore Courts on behalf of its subsidiary DeFi Payments, to obtain a stay order for a period of 6 months, which would bar any proceedings against the company. This was done to “give DeFi Payments and WALD management breathing space to prepare for the intended restructuring for the benefit of all stakeholders,” it said.
At the time, Wold, which was founded in 2018, had assets of about $330 million and liabilities of about $400 million.
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Updated at 11:20 UTC with a comment from Kalin Metodiev of Nexo. Title edited to reflect new information.
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