Crypto Exchange Woo Plans to Repurchase Own Shares Acquired by 3AC – Report
Crypto exchange WOO has successfully recouped shares and tokens acquired by the failed hedge fund Three Arrows Capital (3AC), the exchange confirmed on Oct. 6.
3AC was apparently the largest investor in WOO’s Series A funding round raised back in November 2021. WOO has also agreed to cancel the shares of the now-defunct hedge fund, increasing the ownership of all other shareholders.
The settlement involves 20M tokens repurchased and burnt by WOO, the exchange said in an official announcement.
The move “clears the uncertainty related to 3AC from the WOO ecosystem,” notes Jack Tan, co-founder of WOO.
“We proactively collaborated with the liquidators to secure a fair deal to repurchase our shares and both vested and vesting tokens from 3AC’s estate.”
3AC purchased equity along with 25 million WOO tokens and the remainder were scheduled to vest over the next 12 months.
Tan further noted that the exchange is looking to rebuild its partners and team and that the repurchase of shares and tokens from 3AC positions the ecosystem for a “focused growth trajectory next year.”
“The past 18 months have seen a concentration of bad news hit our industry from large-scale failures to more overzealous regulators. A thorough cleansing of the system has taken place and we are looking forward to rebuilding with our partners and team.”
The news comes days after Singaporean police confirmed the arrest of 3AC cofounder Su Zhu. The “36-year-old man” was apparently seen absconding at the Changi Airport on September 29.
3AC’s liquidator Teneo revealed that Zhu and co-founder Kyle Davies have each received a four-month prison term. Davies’ whereabouts still remain unknown.
The Funding Round
WOO Network closed a $30 million Series A round of funding from various investors in November 2021.
The funding round saw participation from other investors including Crypto.com Captial, the Avalanche Asia Star Fund (AVATAR), AscendEX, LBank, Fenbushi Capital, BitMart, among others.
WOO said at the time that it would use the funds to establish a research and development office in Warsaw, Poland.