Zipmex has reportedly presented a new proposal aimed at repaying creditors as part of its restructuring plan. The initial offer suggests providing 3.35 cents for every dollar of the claims held by creditors. This proposal is a component of a broader strategy to address Zipmex’s $97.1 million debt. The repayment amount may potentially increase to as much as 29.35 cents per dollar, contingent on the success of the exchange’s future asset recovery initiatives. The details were shared by “people familiar with the matter,” as reported by Bloomberg.
According to sources, major creditors of Zipmex have reportedly raised concerns about the latest repayment proposal, advocating for an independent review to closely examine changes in the company’s assets and liabilities as reported in the October 4 court document. This review is seen as essential for ensuring transparency and fairness in the restructuring process. While Zipmex’s Group Chief Executive Officer, Marcus Lim, acknowledged the presence of inaccuracies in the information obtained from sources, he refrained from providing further details, citing the confidentiality of the ongoing scheme of arrangement.
Zipmex Faces Regulatory Scrutiny Amid Restructuring
Zipmex’s repayment proposal comes amid a challenging period for the cryptocurrency exchange, which has been dealing with the aftermath of last year’s downturn in crypto prices. Operating across Thailand, Indonesia, Australia, and Singapore, Zipmex is currently undergoing a court-supervised restructuring in Singapore.
A previous attempt to sell Zipmex to V Ventures, a subsidiary of Thoresen Thai Agencies, did not materialize. Additionally, Thailand’s securities regulator instructed Zipmex to suspend its operations in the country last week due to insufficient net capital. In response to the suspension, Zipmex stated that it was necessary to temporarily suspend digital asset trading and deposits in order to ensure proper and compliant business operations in accordance with Thailand’s Securities and Exchange Commission criteria.