3AC’s creditors must file dividend claims by March, says Teneo

Three Arrows Capital’s creditors must submit claims to be considered for an upcoming dividend distribution by March 14, 2024.
Three Arrows Capital’s creditors must submit claims to be considered for an upcoming dividend distribution by March 14, 2024.

Creditors for the bankrupt crypto hedge fund Three Arrows Capital (3AC) have less than a month to submit claims to be considered for an upcoming dividend distribution. 

According to a notice from Teneo, the firm tasked with liquidating 3AC’s assets, creditors who haven't submitted their claims must do so this March 14 by sending a written letter to an address in the British Virgin Islands.

In addition, creditors who have submitted claims but have not received a confirmation letter or receipt should also contact Teneo:

“[A]ny creditor of the above named Company who has not provided notice of their claim, or has either not received confirmation of receipt of their claim or a letter adjudicating the same, is required on or before 14 March 2024 to send in writing their name and address and the particulars of their debt(s) or claim(s), and the names and addresses of their legal practitioners (if any) to the joint liquidators of the Company (the “Liquidators”), being Russell Crumpler and Christopher Farmer of Teneo (BVI) Limited, P.O. Box 2438, 3rd Floor Banco Popular Building, Road Town, Tortola, VG1110, British Virgin Islands.”

Teneo has not disclosed the specific amount to be distributed as interim dividends to the creditors and has declined to provide further details on the final distribution. The liquidators intend to pay out the funds on or around March 31, 2024, according to the notice.

“Unfortunately we’re not able to provide more clarity on amount and timing of additional distributions at the moment – we’ll be updating creditors closer to the distribution date and will have information then,” a spokesperson for Teneo told Cointelegraph.

3AC's Notice of Intention to Distribute Interim Dividends. Source: Teneo

In December 2023, the firm estimated that creditors would receive nearly 46% of their claims, bringing the total of recovered assets to $1.16 billion at that time. Teneo also forecast a total of $2.7 billion due for distribution, below the total of $3.4 billion filed in 154 claims.

Data from analytics platform Scopescan on Feb. 23 shows an Ethereum wallet address tagged as ‘Teneo: 3AC Liquidation’ with $887.3 million worth in crypto assets, among them Worldcoin (WLD), Starknet (STRK), dYdX (DYDX), USD Coin (USDC), SuperRare (RARE), WOO (WOO), and Tokenize Xchange (TKX).

Recently, a settlement resolving claims and disputes between 3AC and crypto lender BlockFi was approved by a United States judge.

Three Arrows Capital filed for Chapter 15 bankruptcy on July 1, 2022. The hedge fund managed over $10 billion worth of assets but was severely affected by the collapse of the Terra ecosystem in May of that year. Its co-founders, Kyle Davies and Su Zhu, have been on the run from liquidators since then, delaying recovery efforts in the case.

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