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Related from December (but unresolved there): Will Anthropic return the $580M in Series B funding led by SBF? https://news.ycombinator.com/item?id=34111082 http

• crazygringo 3y ago
  Why would an investment ever be "returned"? Because of its investment, FTX owns shares in Anthropic. In bankruptcy, those shares will be sold in some form to new investors in exchange for cash, at whatever the current value is. Just like any other asset. In theory, I suppose that new investor could be Anthropic itself doing a stock buyback, but that would be extremely unusual. Buybacks are for mature companies with excess cash, not growing startups.
  • ac29 3y ago
    > Why would an investment ever be "returned"? Because the money used for the investment was stolen.
    • deleted 3y ago
      [deleted]
    • tornato7 3y ago
      Let's say for sake of argument the investment by FTX was made at a valuation of $1B and Anthropic is now worth $10B. Could Anthropic now say, "Oh no, that money was stolen, the investment was never valid, we're returning every last cent." and essentially do a huge share buyback at a steep discount to current valuation?
      • rmbyrro 3y ago
        I guess that's not how corporate liquidation work. A liquidator will evaluate the assets current market value and try to liquidate them in the most advantageous way for creditors. Which means: they'll try to get at least the valuation that Anthropic got from the AWS deal. The problem is: they need to find someone willing to buy these shares at this price. If they do so, FTX creditors will be happy.
    • aqme28 3y ago
      FTX was an investment company. Of all the fraud that company did do, this is like the one thing they were supposed to be doing. And it's up, so if you think they should renege investments, start with the ones that failed and not the profitable ones.
    • throw03172019 3y ago
      They attempt to sell the shares of the company it invested in.
    • umeshunni 3y ago
      As a very crude analogy, if someone got access to my brokerage account and used to money in that to buy a Ferrari and got caught, do I get my money back or get the Ferrari (and presumably have to sell it)?
  • l33tman 3y ago
    Bankruptcy court can do clawbacks, I'm curious how that could apply for an investment scenario though.. it's not exactly paying a creditor or buying a Porsche just before a bankruptcy...
    • skybrian 3y ago
      Regardless of what's legally possible, it doesn't seem like an option that new FTX management would want to exercise, since they're trying to maximize the value of remaining assets for creditors. Clawbacks would make sense for a charitable donation or shares that have gone down in value. For an investment that's increasing in value, it makes more sense to sell it at market.
• devindotcom 3y ago
  I asked Dario this on stage last week. He said the shares are owned by the bankruptcy estate and are being sold/disposed of through that mechanism.