Cryptocurrency firm DLTx announced at 22.30 on Easter Sunday that they are selling all foreign operating companies, including their interest in Filecoin’s cloud storage collaboration with Storify and Helix.
The move comes in response to the downturn in the blockchain market in 2022, as well as the company seeing how large investments are needed to achieve profitability in Filecoin.
Chairman James Haft, Director Strategy David Johnston and DLTx expert Jacob Farber are the debt handlers.
The chairman and other buyers assume about $25 million – more than 260 million kroner – of outstanding debt. In addition, the Chairman receives 5 years of seller credit on the cash portion, which amounts to $3 million – 31.5 million kroner – which must be settled by the purchaser by December 31, 2028.
Reduces debt – change the strategy
DLTx writes that the sale means the company will now change its strategy.
“The sale is in line with the objective of improving our financial position. From now on, our immediate focus will be the value of our investment portfolio, and we will act opportunistically to further improve our financial position,” DLTx CEO Roger Lund says in the exchange’s announcement.
The company writes in its stock market announcement that the transaction will significantly reduce the company’s overall debt burden, but by an amount that is not specified.
Lund confirms that this was expected to be part of the agreement with Blockchain Moon Acquisition — the $1 billion deal that fell through in mid-March. The exchange’s announcement also states that DLTx will pursue these strategic initiatives under other circumstances.
As part of the agreement, DLTx will change its name and hold an extraordinary general meeting in the near future.
Following the transaction, DLTx’s balance sheet will consist of its Web3 investment portfolio, outstanding claims against the buyer, and outstanding claims against Ambershaw Metallics and Eardley Settlement.
“Explorer. Unapologetic entrepreneur. Alcohol fanatic. Certified writer. Wannabe tv evangelist. Twitter fanatic. Student. Web scholar. Travel buff.”
