Cryptocurrency project NEO was ready to acquire the company Bittorrent Inc., operator of the popular uTorrent client, through the venture firm Neo Global Capital (NGC) for $ 170 million. Mass media reports, citing internal documents sold to the company.
An informed source said that the leadership of the Bittorrent refused lucrative offers and chose to make a deal with the Creator of the cryptocurrency TRON Justin San, although the latter has offered 50 million dollars less.
According to the publication, Bittorrent came to the conclusion that the transaction with NGC was not in the interests of the company and shareholders.
It is noteworthy that initially Justin San supposedly was not going to buy the company completely, but only wanted to buy 99% of the preference shares Bittorrent at venture capital firm DCM, suggesting 90 million to $ 100 million.
NGC, according to sources, came out with a proposal to complete the purchase a month later. The company was willing to pay 115 million dollars in preference shares of DCM, and 55 million dollars for all ordinary shares.
However, at some point NGC, according to the sources, has refused the conditions to complete the transaction in six months that Bittorrent could take a step backward.
In addition, the company allegedly concerned that the main assets of NGC are cryptocurrencies that could complicate the process of converting the required amount in a foreign currency and jeopardize the deal.
In turn, representatives of the venture capital firm allegedly began to doubt that on the basis of Bittorrent Protocol, you can build an effective, decentralized storage of files for blockchain projects.
14 February Bittorent has accepted the proposal of Justin Sana — $ 90 million in preferred shares and $ 30 million for ordinary.
We will remind, on completion of the transaction was announced on July 24.
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