FTX Liquidates Remaining Anthropic Shares, Realizes Over $1.3 Billion Total

• The FTX bankruptcy estate has been actively liquidating assets to compensate former customers of the now-defunct exchange.
• In a recent significant development, the estate has sold its remaining shares in artificial intelligence startup Anthropic.
• This follows a series of asset sales designed to generate funds for FTX creditors.

FTX estate completes a major sale of Anthropic shares, continuing its efforts to reimburse former customers amid bankruptcy proceedings.

FTX Generates $800 Million from Final Anthropic Share Sale

In the latest series of asset liquidations, the FTX estate has completed the sale of its remaining shares in Anthropic, the AI company known for the Claude chatbot. The estate sold the last 15 million shares at a price of $30 each, resulting in proceeds exceeding $452 million.

Key Buyers of Anthropic Shares

Prominent among the buyers is G Squared, a venture capital fund that acquired approximately one-third of the remaining shares, or 4.5 million shares, for an estimated $135 million. Other notable buyers include Fund FG-BLU and several hedge funds and investment firms.

The recent transaction follows an earlier sale of Anthropic shares by FTX, which occurred just over two months ago. In that sale, the estate also secured $30 per share, garnering approximately $900 million. Altogether, the liquidation of Anthropic shares has provided FTX with a total of $1.3 billion in returns.

FTX and its sister company Alameda initially invested $500 million for an 8% stake in Anthropic back in 2021. The boom in the AI industry since then has significantly increased the value of these shares, translating into a profit of over $800 million for the estate. Alongside the Anthropic shares, FTX’s liquidators have also recently revealed plans to sell off various real estate assets acquired before the bankruptcy filing.

FTX Bankruptcy Costs Exceed $700 Million

According to insights from a recent bankruptcy report, the expenses associated with FTX’s bankruptcy proceedings have now surpassed $700 million. These costs encompass legal and administrative fees that have accumulated over the years following the exchange’s collapse.

Breakdown of the Bankruptcy Expenses

The report highlights that consulting firm Alvarez & Marsal has billed the estate $212 million, making it the highest earner. Legal firm Sullivan and Cromwell, serving as FTX’s legal counsel, has charged $202 million. Additionally, FTX CEO John Ray has accrued costs of $5.6 million, calculated at an hourly rate of $1,300, since the commencement of the bankruptcy case.

Conclusion

The FTX bankruptcy estate continues to make progress in liquidating assets to repay former customers. The recent sale of Anthropic shares and the outlined future sales of real estate indicate a strategic approach to optimize funds. Although the costs of bankruptcy proceedings have been substantial, the notable profits from strategic investments suggest a cautiously optimistic outlook for the estate and its creditors.