• Crypto lending firm Vauld has rejected an acquisition offer from its larger competitor, Nexo.
• Vauld co-founder and CEO Darshan Bathija said the company would not accept Nexo’s final proposal.
• Vauld expressed concerns over Nexo’s ability to handle U.S.-based customers and provide an assessment of its solvency.
Crypto lending firm Vauld has officially declared that it will not be acquired by its larger competitor, Nexo. On January 5th, Vauld co-founder and CEO Darshan Bathija sent a private letter to Nexo stating that the company would not accept the final acquisition offer.
The acquisition offer from Nexo has been under consideration since last July, when Vauld filed for bankruptcy after the collapse of Celsius. In the months that followed, Nexo revised its proposal multiple times and sent a final offer just hours before Vauld’s rejection.
Despite this, Vauld was not satisfied with the offer. In the letter of rejection, Bathija wrote that the company “unanimously do[es] not accept [Nexo’s] proposal as it stands” due to the lack of an assessment of Nexo’s solvency and concerns over how Nexo would handle U.S.-based Vauld customers. Nexo had previously stated in December that it would stop serving U.S. residents, which further complicated the situation.
The rejection of the acquisition offer comes as no surprise, as Vauld has long been wary of Nexo’s intentions. In fact, it was one of the primary reasons that Vauld had not accepted the offer in the first place. With this latest rejection, it is clear that Vauld is determined to remain independent and rebuild its business in the aftermath of the Celsius collapse.
Going forward, it is unclear how this latest development will affect the two companies. Nexo’s acquisition offer is no longer on the table, and it remains to be seen if the two firms will be able to come to an agreement in the future. However, it is clear that Vauld is determined to stand on its own, and that it is not interested in being acquired by its larger competitor.