Michael Rubin & Sbfs Bahamas-Bromance

a note at the beginning: This is the last DD of 2022. We will be back for a little R&R on Tuesday, January 10th - but definitely look for a special edition of the newsletter in early January.

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Thanks for reading and nice holidays!

Francesca Friday

Due-diligence rapporteur/producer

in today's newsletter:

Michael Rubin is no longer a ftx fanatic

Michael Rubin is the ultimate networker. The man behind the fanatics The sporting goods empire has quite a jet set life, as is recorded in this profile of the New York Times.

Last year

Rubin also spent time with the most notorious inhabitant of the island state, ftx founder Sam Bankman-Fried . A disclosure of the insolvency administrator of the fallen crypto exchange on Wednesday evening showed that FTX is an investor in Fanatics, a company that represents Sullivan & Cromwell .

dd has learned some details about the relationship between the two. According to a person familiar with the situation, Rubin and SBF met at the end of 2021, when Rubin built a holiday home Albany Resort, the elegant community in which FTX had settled.

rubin was $ 10 million in FTX, a number that has now been wiped out. According to this person, however, FTX put $ 10 million in Fanatics. The latter investment has developed much better.

The $ 10 million of FTX was invested in a gathering of funds in early 2022, which rated fanatics with $ 27 billion. Just a few weeks ago, this rating rose to 31 billion US dollars in a further round, in which those were also involved Clearlake capital , löwenbaum , Softbank and Silver Lake partner .

The Fanatics Investment of the crypta group is now part of the FTX bankruptcy mass, which the new head of the company has Johann Ray III Sullivan & Cromwell and Banker at Perella Weinberg Partner to pay account holder.

fanatics refused to comment on his relationship with FTX.

Rubin may spend more time on the Bahamas, but not SBF. After he had arrived in New York on Thursday and was taken to the federal prayer, a judge stated a deposit of $ 250 million for him, which required his presence in his parents in Palo Alto, California.

Two of his closest employees, Caroline Ellison and Gary Wang , will not return so quickly. The couple guilty of the allegations of fraud and agreed to work with the US authorities.

How Adidas dropped the ball

The year is 2016. Kanye West ’s album fade The Airwaves and drops of the Yeezy sneaker collaboration of the rapper, who became the designer, adidas sell that only 0.25 percent of hopeful customers get a couple in their hands.

How the powerful fell. The rapper, who is now called Ye, has turned out to be a Hitler apologet of an anti-Semitic tirade that inspired other hateful language and deeds. This prompted Adidas to cancel the relationships with his most profitable business partner.

The end of the partnership has contributed to the fact that Adidas's share price fell by 54 percent last year. But the retailer had to deal with deep -seated problems within his organization long before his latest crisis, report Eleanor Olcott and Olaf Storbeck from the Ft.

In interviews with 17 current and former managers, many of whom have left the company, said the outgoing boss Kasper Rörsted and his board had badly positioned Adidas to survive the Weststurm, to dismiss key staff and to rely too much on working with Yeezy.

They also claimed that the “management of fear” of the outgoing boss had traumatized the employees and led to an exodus of talents.

rørsted's successor, long -standing puma chef björn gulden has now been commissioned to combat the growing gap between Adidas and its rival.

The debacle has made the risks of a too much dependence on a single partner. As a city analyst Thomas Chauvet , it formulated last month: "A complete reset of the adidas brand is probably required."

Job moves

• Dan Berkovitz General Counsel of the USA Securities and stock exchange commission He will leave the agency at the end of January.

• Stéphanie Bruce The CFO of abrdn According to Bloomberg, he plans to leave the asset manager in the coming months after a time challenging for the group.

• Tesla sent his China boss Tom Zhu to help with the management of production-technical challenges in the region, which heats up speculations that he is prepared for a larger role as CEO of the electric car manufacturer Elon Musk distracted.

Intelligent reads

The ER-Elite A special space in the busy emergency room of New York University in Manhattan is dedicated to two types of patients: those whose life is at stake, and VIPs. The New York Times is accused of treating the hospital donor, trustee and their families.

India or bust While China's once brand new asset market cools down in the face of geopolitical tensions, a new gold rush has triggered the global rush of private banks to hire consultants for India's empire, reports Bloomberg.

People of interest from Sam Bankman-Fried to the crypto scam with the rap name "Razzlahn", our colleagues from Alphaville can look back on one year of fascinating characters.

and an FT film: The era of light money is over. FT journalists impose the next major threats to the global financial system.

News summary

Guggenheim Partners Financer Scott Minerd dies at the age of 63 (ft)

Former Crédit Agricole dealer claims racist prejudices at the bank (Bloomberg)

Deloitte from British supervisory authority due to SIG examination work (FT) with fine

Credit trade loss from JPMorgan depended on internal reviews (Bloomberg)

Toshibas Preferred bidder seals $ 10.6 billion dollars (Reuters/Yomiuri)

The German supervisory authority blamed Standard Chartered for European operations

TikTok admits that they have followed FT journalists when examining LECKS (ft)

US banks: Note the evaluation gap for bonds of USD 690 billion (Lex)

Porsche and the decline of the German Stock Exchange (FT Opinion)