FTX Unveils Groundbreaking Plan to Repay $16 Billion in Debt
Wednesday, 8 May 2024, 03:57
FTX's $16 Billion Debt Repayment Plan:
FTX files an updated plan for creditor reimbursement, aiming to repay between $14.5 and $16.3 billion through asset liquidation. The plan includes a 'convenience class' for small creditors and settlements with key stakeholders.
Key Highlights:
- Full repayment: Non-governmental creditors to receive full payment, including 9% interest from bankruptcy.
- Structured repayment: Introduction of a 'convenience class' for small creditors to receive 118% of their claim value.
- Settlements: Agreements in progress with IRS, CFTC, and the DOJ for supplemental payments to creditors and customers.
With the CEO expressing optimism, pending court approvals will further determine the plan's efficiency and fairness.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.