Bankrupt lending platform Celsius Network LLC has announced that it has selected a bid from Fahrenheit as the winning bid to bring the company out of bankruptcy, according to a report by Reuters.
Celsius, which filed for Chapter 11 protection in July, is seeking a buyer to manage its cryptocurrency lending and bitcoin mining business. The selected consortium, Fahrenheit, includes Arrington Capital, a blockchain-based venture capital firm. In addition to the consortium’s takeover of the company, a new board of directors, primarily appointed by the creditors, will oversee the new company formed as a result of the purchase.
Celsius also revealed that it has secured a back-up offer from the Blockchain Recovery Investment Consortium (BRIC), a Gemini Trust holding company owned by the Winklevoss twins, guaranteeing an alternative option in case the deal with Fahrenheit falls through.
According to Celsius, Fahrenheit will provide the capital, management expertise and technology needed to overcome bankruptcy. The consortium’s selection indicates a potentially positive outcome for Celsius and its creditors, allowing the company to move forward under new management and ownership.
