Celsius apparently has some offers to refinance their crypto savings and lending business. Clock is ticking though, as they are set to run out of money soon…
Covered:
- Celsius Refinance Options
- Future Prospects For Celsius
Celsius Refinance Options
A lawyer for the bankrupt Celsius Network says that the Alex Mashinsky-led company has recieved multiple restructuring offers. The revelation came during Celsius’ latest bankruptcy hearing. Celsius first filed for bankruptcy last month, after first announcing a pause on withdrawals back in June.
According to Joshua Sussberg of Kirkland & Ellis the resstructuring offers are of “various shapes and sizes.” A restructuring would provide a capital injecton for the bankrupt company.
A restructuring deal couldn’t a come at a better time. Celsius is set to run out of money for day-to-day operations by October, according to court papers.
Future Prospects For Celsius
Considering Celsius’ core business is on pause, a capital injection is its only hope to keep its doors from shuttering. However, the problem is that money comes with a caveat.
Since Celsius is deeply in distress why would anyone in their right mind want to give them some cash? It’s likely because it would come with a provision such as receiving Celsius’ remaining assets in the case of a default.
Nevertheless, it’s the best thing Celsius could do at the moment. And there is a chance that they wouldn’t have to sell off their assets, esecially if they receive enough money to last them until a crypto turnaround.
Here’s hoping for everyone with assets tied up in Celsius that the latter scenario plays out.
Recommended: This Is How Celsius Survives Insolvency
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