FTX seeks to claw back money from $250M Embed acquisition
Summary
Why it matters: This could be the first of many suits relating to acquisitions and investments that Bankman-Fried made. Of note: The litigants are also seeking to claw back the money from Embeds former shareholders. Details: The lawsuits allege that Bankman-Fried and other execs at FTX and Alameda Research overpaid to acquire Embed for $250 million in September 2022. Between the lines: Embeds former shareholders (including its founder and CEO Michael Giles) are not accused of wrongdoing. The intrigue: The lawsuits also note that the highest bid received for Embed as part of an ongoing auction has been for just $1 million — from Giles himself — largely because its software didnt perform as was original claimed, rendering it now essentially worthless.