Genesis said “definitive documentation and necessary court approvals” must be completed before the agreement goes into effect. DCG would also refinance its existing 2023 term loans through “a new, junior secured term loan in two tranches made payable to creditors in the aggregate total value of approximately $500 million.”Īs part of the restructuring, DCG will also contribute its equity in Genesis Global Trading (GGT) to Genesis Global Holdco, bringing all Genesis entities under the same holding company. Under the terms of the agreement, DCG would issue convertible preferred stock as part of Genesis’ Chapter 11 restructuring plan in exchange for its outstanding $1.1 billion note due in 2032. “Today’s agreement is a positive step forward and provides a clear path to a consensual resolution that maximizes value,” said Paul Aronzon, a member of the Special Committee of Genesis’s board of directors that has been overseeing the restructuring process.Īccording to the statement released by Genesis, the agreement “lays out a framework for a global resolution that will maximize value for all Genesis clients and stakeholders.” Sign up here!īankrupt crypto lender Genesis announced late Monday that it had reached an “agreement in principle” between parent company Digital Currency Group (DCG) and their creditors, including Gemini, on the more than $2 billion in money owed. Editor's Note: With so much market volatility, stay on top of daily news! Get caught up in minutes with our speedy summary of today's must-read news and expert opinions.

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