FTX Expands Bid Deadline for Japan and Europe Subsidiaries

• FTX proposed to extend the bid date for its Japan and Europe subsidiaries.
• The preliminary bid date is extended to March 8, while the bid deadline is set on March 19.
• The auction is rescheduled for April 26, and the sale hearing is set on May 1.

According to recent reports, the besieged crypto exchange, FTX, proposed to extend the deadline to bid for its Japan and Europe subsidiary companies as the administrators are striving hard to find funds to repay the creditors.

Previously in January 2023, John Ray, the present CEO of FTX, received approval from the court to auction many of the FTX subsidiary companies, including LedgerX, FTX Japan, and FTX Europe, to meet the expenses to pay back its creditors.

According to the court filing on February 1, FTX filed the request to extend the bid deadline in the U.S. Bankruptcy Court for the District of Delaware. The company also requested to revise the dates for the sale of Japan and Europe subsidiaries.

Currently, the filing states that the preliminary bid date is March 8, and the bid deadline is March 19. It was also announced that the auction is rescheduled for April 26; the sale hearing is expected to be on May 1.

Notably, the previous date set as the bid deadline was March 15, while March 21 was the scheduled date for the auction. Also, it was planned to have March 27 as the date of the sale hearing for each of the FTX subsidiaries in Japan and Europe.

Mamoru Yanase, deputy director-general of the Financial Services Agency’s Strategy Development and Management Bureau, said

We have been in close communication with FTX Japan.

The Japanese subsidiary has already initiated procedures to return the client’s funds. It is expected to return the assets to the customers by the end of February. In addition, the Financial Services Agency (FSA) of Japan told the last month that the unit could not lose its license even if its owner changes.