Last week, Senator Dany Wattebled and Representative Philippe Latombe submitted a controversial case to the French National Financial Prosecutor’s Office concerning MARA’s acquisition of Exaion. What are the key points to remember?
Two lawmakers call on the National Financial Prosecutor’s Office to investigate MARA’s acquisition of Exaion
Since the announcement of a potential acquisition of Exaion, a subsidiary of EDF, by Bitcoin (BTC) mining giant MARA, much ink has been spilled over the sovereignty issues that this raises.
While a few politicians have already taken up the issue, it is now the turn of Senator Dany Wattebled and Representative Philippe Latombe. As reported by the newspaper La Lettre, the lawmakers submitted a report last week to the National Financial Prosecutor’s Office (PNF), denouncing the ongoing operation and requesting a thorough investigation.
Thus, La Lettre reports that on July 25, Fatih Balyeli, CEO of Exaion, and Laurent Bernou-Mazars, the company’s chief technology officer, acquired a total of 5.75% of Exaion’s capital on February 17, 2023, for an investment of just over €126,000. On July 25, the two investors were awarded free shares, bringing their respective holdings to 4.25% for the former and 3.21% for the latter.
With MARA’s acquisition of Exaion and the subsequent valuation of Exaion, this could then bring in nearly €1.69 million for Fatih Balyeli and €1.27 million for Laurent Bernou-Mazars, representing a return of more than 2,000% in two years.
In addition, the allocation of free shares and share subscription warrants to the company’s management amounting to 20% of Exaion’s capital last February, as well as MARA’s willingness to grant 15% of shares to Exaion’s management, have also been highlighted.
In total, the report mentions a possible “personal enrichment exceeding €33 million” for the two executives mentioned above.
In addition, the two parliamentarians highlighted the links between Mara and Gérard Mestrallet, former CEO of Engie and Emmanuel Macron’s special envoy for the France-Morocco energy partnership and the India-Middle East-Europe (IMEC) economic corridor. Still in office, Mestrallet was nevertheless appointed advisor to MARA last August.
In general, the document does not hold back in its use of strong language to describe this transaction, mentioning suspicions of influence peddling, misuse of company assets, illegal taking of interest, and even organized fraud.
This is a case to watch, as this thorny issue is likely to continue to be talked about over the coming weeks.
