MUFG - Archegos on verge of insolvency triggered by bank claims: FT

Archegos Capital is set to file for insolvency as banks try to extract from Bill Hwang's family office the more than $10B they lost when its derivatives trades flopped in March, the Financial Times reports, citing two people familiar with the matter.The family office has hired restructuring advisers to help evaluate potential legal claims from the bank to to map out a possible winding down, they said.A number of banks are preparing "letters of demand" to request payment from Archegos ahead of filing a legal claim, three people close to the process told the FT.They're also investigating whether the firm withheld or provided incorrect information on the amount of its borrowing from other prime brokers.UBS Group ([[UBS]] +2.0%), Nomura Holdings ([[NMR]] +0.6%), Morgan Stanley ([[MS]] +1.0%), Mitsubishi UFJ Financial ([[MUFG]] +1.0%), Credit Suisse ([[CS]] -0.5%), and Mizuho Financial ([[MFG]] -0.7%), all together, lost over $10B when forced to liquidate Archegos's

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Archegos on verge of insolvency triggered by bank claims: FT