• Nexo, a crypto lender, sent an open letter to creditors of Singapore-based rival Vauld after it suspended all withdrawals, trading and deposits on its platform and filed for creditor protection.
• The letter said that Nexo had presented a revised proposal on Dec. 2 and that the team negotiating the transaction had faced challenges with financial and legal due diligence information.
• Kroll, Vauld’s financial adviser, did not immediately respond to a request for comment.

Crypto lender Nexo recently sent an open letter to creditors of Singapore-based rival Vauld, after the company announced that it had suspended all withdrawals, trading and deposits on its platform, filed for creditor protection and was looking at restructuring options.

The purpose of the letter, which was signed by Nexo Management, was to create transparency to Vauld’s creditors, where it had been insufficient, regarding the merits of Nexo’s acquisition plan, as well as to contribute final improvements to some of the proposal’s commercial terms based on feedback from Vauld’s community. Nexo said that the team negotiating the transaction had faced daily challenges, such as receiving slow and incomprehensive financial and legal due diligence information, and that terms of the deal presented to Vauld creditors were “misleading”.

Nexo had presented a revised proposal on Dec. 2, however Vauld said earlier in the day that the deal announced in July had “not come to fruition”. Nexo responded by saying talks were continuing and it still hoped to complete the purchase, and that Vauld had until Jan. 20 to work on a restructuring plan.

Kroll, Vauld’s financial adviser, did not immediately respond to a request for comment. The future of the acquisition process remains unclear, however, Nexo’s open letter to creditors clearly shows that the company is still eager to pursue the purchase of Vauld.

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