Bolt, the one-click payments platform, has reached a resolution in its protracted legal battle with Activant Capital. The settlement involves Bolt buying out Activant’s stake, effectively ending the investor's involvement with the company. This move aims to close a contentious chapter involving accusations and legal disputes.
Activant’s lawsuit alleged that Bolt’s founder and former CEO, Ryan Breslow, inflated the company’s balance sheet by $30 million through a personal loan. The suit also claimed that Breslow removed board members who pressured him to repay the loan. Alongside this settlement, Bolt resolved another legal matter with major customer Fanatics this week.
However, Bolt’s troubles are far from over. The company is navigating a complex situation involving demands for existing shareholders to purchase additional shares at a higher valuation. This is complicated by a contentious term sheet tied to a Special Purpose Vehicle (SPV) investor and $250 million in “marketing credits.” Some investors are pushing back against the deal, adding to Bolt’s ongoing drama.
As Bolt moves forward, it faces the challenge of resolving internal disputes and addressing investor concerns. The outcomes of these ongoing negotiations will be critical in shaping the company’s future and stability in the competitive payments landscape.
