Photographer: Michael Nagle / Bloomberg
Photographer: Michael Nagle / Bloomberg
Morgan Stanley sold $ 5 billion worth of shares owned by Archegos Capital Management a day before a deluge of blockchain operations sent shockwaves to capital markets.
The sale of the stock basket on March 25 was completed with a fixed discount, according to a person with knowledge of the matter, who asked not to identify himself by discussing private transactions.
The Wall Street bank sold shares of Bill Hwang’s family office in about ten companies after the market closed, mainly to cover funds, the person said. CNBC reported Tuesday before the size of the stock sale.
Morgan Stanley’s first bids for the outflows helped the company come out largely unscathed from a fund extinction that caused billions in losses at other banks. Credit Suisse Group AG announced on Tuesday a $ 4.7 billion decrease related to its exposure to Archegos, and Nomura Holdings Inc. has said it could be as successful as up to $ 2 billion.
Morgan Stanley was one of the first sponsors of the family office despite Hwang-related legal contamination. He was accused of exchanging information by the authorities and in 2012 pleaded guilty to bank fraud on behalf of his hedge fund, Tiger Asia Management.
A Morgan Stanley spokesman declined to comment.
Read more: Credit Swiss The tender for Archegos Fix ends with the bank dispute
– With the assistance of Sridhar Natarajan