NextGen Digital Platforms to Buy Crypto Assets

NextGen Digital Platforms (NXT.CN), which lost 3.65% last Friday, earlier Monday said it signed a letter of intent with a TSX Venture Exchange-listed technology company to buy the claim of about 10,000 Solana coins (SOL) or an equivalent cash amount. These assets are currently held by Genesis Global, a cryptocurrency lender and market maker that filed for Chapter 11 bankruptcy in January 2023 due to financial difficulties. The crypto assets are in the process of being distributed by Genesis Global to the publicly traded technology company, as Genesis is currently subject to certain bankruptcy proceedings. NextGen plans to buy the crypto assets for up to $5.5 million and the acquisition will be fully paid with the issuance of NextGen common shares. The acquisition is an arm's length transaction and there will be no changes to the company's board or management in connection with the acquisition. Following the release of each tranche of crypto assets to the technology company by Genesis Global, the technology company will deliver to NextGen the applicable SOL or the cash proceeds, which shall be equal to the number of SOL subject to such tranche, within three business days of such custodian delivery date. Shares of the company closed down $0.050 to $1.32 on Friday on the Canadian Securities Exchange.