Not Just Tron: Neo's Failed $170 Million Bid to Buy BitTorrent Revealed

gepubliceerd op by Coindesk | gepubliceerd op

Vermeld in dit artikel
When Tron founder Justin Sun bought BitTorrent in one of the most talked-about tech acquisitions of the year, it turns out he wasn't even the highest bidder.

According to Neo Blockchain's head of investment, Weiyu "Wayne" Zhu, and internal BitTorrent documents obtained by CoinDesk, NGC's bid was for $170 million, amounting to $50 million dollars more than Tron founder Justin Sun's $120 million bid for the shares.

Although first reported in June, Sun announced in July that he had acquired BitTorrent on behalf of Tron, the controversial blockchain project he founded in 2017 after leaving San Francisco startup Ripple.

Despite bidding $50 million more than Justin Sun, BitTorrent's board nonetheless said in the documents that NGC's offer was "Not more favorable to the company and its shareholders" and accepted Sun's offer.

Sun offered approximately $90 million to $100 million for DCM's stake.

Unlike Sun, NGC sought to become BitTorrent's sole owner from the start, offering $115 million for all preferred stock and $55 million for all common stock.

In mid-February, NGC revised its offer to exclude a provision that would nullify the acquisition if it was not completed within six months, a change that appears to have been considered a drawback by BitTorrent and DCM. Just one day after NGC submitted their revised letter of intent, BitTorrent and DCM determined that the despite the higher price tag, NGC's offer was not as "Favorable" as Sun's offer.

On Valentine's Day, BitTorrent and DCM accepted Sun's final offer of $90 million for all preferred stock and $30 million for all common stock the following day.

BitTorrent has yet to unveil a major new Tron specific project, other than becoming in August another Tron controlled super representative on the network.

Like NGC, Sun also tried to compel several former BitTorrent employees and major holders of common stock, including Cohen, to rejoin the company.

x