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March 2, 2021, 7:52 a.m. EST

Greensill faces possible insolvency after Credit Suisse suspends funds

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By Julie Steinberg, Duncan Mavin, Ben Dummett, Maureen Farrell

Specialty finance firm Greensill Capital headed toward a rapid unraveling after Credit Suisse Group AG /zigman2/quotes/202835784/composite CS -0.10% suspended $10 billion of investment funds that fueled the SoftBank Group Corp /zigman2/quotes/207303954/delayed JP:9984 +1.03% .-backed startup.

With a key source of financing frozen, Greensill has appointed Grant Thornton to guide it through a possible restructuring, and it could file for insolvency, the U.K. equivalent of bankruptcy, within days, according to people familiar with the company.

Greensill is simultaneously in talks with private-equity giant Apollo Global Management Inc. to sell its operating business for around $100 million, according to people familiar with the talks. Though a deal wouldn’t be for all of Greensill’s assets, the amount represents a sliver of its peak valuation of $4 billion.

U.K.-based Greensill is the brainchild of former Citigroup Inc. and Morgan Stanley financier Lex Greensill. Founded in 2011, Greensill specializes in an area known as supply-chain finance, a form of short-term cash advance that lets companies stretch out the time they have to pay their bills.

An expanded version of this story is available at WSJ.com

/zigman2/quotes/202835784/composite
US : U.S.: NYSE
$ 10.28
-0.0100 -0.10%
Volume: 3.65M
April 21, 2021 10:54a
P/E Ratio
9.39
Dividend Yield
1.01%
Market Cap
$24.82 billion
Rev. per Employee
$661,829
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/zigman2/quotes/207303954/delayed
JP : Japan: Tokyo
¥ 9,922.00
+101.00 +1.03%
Volume: 15.29M
April 21, 2021 3:00p
P/E Ratio
12.83
Dividend Yield
0.00%
Market Cap
¥17293.87 billion
Rev. per Employee
¥76.45M
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