TechFlow news — Temasek has released a statement regarding its investment in FTX. Temasek stated that across two funding rounds from October 2021 to January 2022, it invested USD 210 million for approximately 1% minority equity stake in FTX International, and USD 65 million for approximately 1.5% minority equity stake in FTX US. As of 31 March 2022, the cost of the FTX investment represented 0.09% of the net value of our portfolio, which stood at SGD 403 billion.
Regarding due diligence on FTX, we spent approximately eight months from February to October 2021, reviewing FTX’s audited financial statements, which indicated profitability. We also focused specifically on regulatory risks associated with cryptocurrency financial market service providers and gathered qualitative feedback on the company and management team. After investing, Temasek continued with ongoing business strategy engagement and performance monitoring. However, eliminating all risks is not realistically achievable.
It is now evident from this investment that our belief in Sam Bankman-Fried’s actions, judgment, and leadership was misplaced. Source link
