Robinhood, the popular online brokerage firm, has reached an agreement with the United States Marshal Service to repurchase shares previously associated with Sam Bankman-Fried’s Emergent Fidelity Technologies, amounting to $605.7 million. The shares were seized and transferred to the U.S. government after Bankman-Fried’s FTX and Emergent filed for bankruptcy protection last year. Investors responded positively to the news, as Robinhood’s shares rose 3% in premarket trading. The U.S. District Court for the Southern District of New York has approved the sale of the 55.3 million shares, each priced at $10.96. In February, Robinhood had announced its intention to repurchase the majority of the shares, and the board had endorsed the move. Last November, Bankman-Fried had revealed his possession of a 7.6% stake in Robinhood, and had assured investors that he had no intention of taking control of the brokerage firm. The Department of Justice has challenged seven of Bankman-Fried’s defense’s expert witnesses, claiming that their testimonies might be misleading and in violation of legal conventions. The source of the controversial documents remains unknown, but speculation points to Bankman-Fried’s personal digital storage. Bankman-Fried is currently detained pending his trial, which is scheduled for October 2. He will face a range of charges, including fraud and alleged financial interactions with Chinese dignitaries.
This News Article was automatically generated by Bob the Bot (AI)
This News Article was automatically generated by Bob the Bot (AI)
| Information | Details |
|---|---|
| Geography | North America |
| Countries | 🇺🇸 🇨🇳 |
| Sentiment | neutral |
| Relevance Score | 8 |
| People | DOJ, Bankman-Fried, Sam Bankman-Fried, U.S. District Court, Robinhood |
| Companies | FTX, DOJ, U.S. District Court for the Southern District of New York, U.S. Marshal Service, Emergent Fidelity Technologies, Robinhood |
| Currencies | None |
| Securities | None |
