In a significant development within the ongoing Three Arrows Capital (3AC) saga, Tao Yaqiong (also known as Evelyn), wife of 3AC co-founder Zhu Su, has successfully sold a Singapore mansion for S$51 million ($38.5 million).
The sale was finalized last month following an agreement reached in July. The property, classified as a “good class bungalow,” is strategically located near the Singapore Botanic Gardens on Dalvey Road and spans 1,446 square meters (15,568 square feet).
Notably, Tao had acquired the property for S$28.5 million in 2020 and subsequently redeveloped it, resulting in a substantial profit margin despite the current legal implications surrounding 3AC’s collapse.
Background of 3AC’s Downfall
The sale comes against the backdrop of Three Arrows Capital’s dramatic collapse in 2022. The hedge fund, which was once among the world’s largest crypto-native investment firms.
Under the leadership of Zhu Su and Kyle Davies, suffered catastrophic losses following a series of unsuccessful investments amid a broader cryptocurrency market downturn.
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The fund’s implosion was part of a larger wave of failures that swept through the cryptocurrency sector during that period.
It marked one of the industry’s most significant downfalls and led to extensive regulatory scrutiny and legal proceedings.
Legal and Regulatory Consequences
The aftermath of 3AC’s collapse has brought severe consequences for its founders. In 2023, Singapore’s financial authorities imposed nine-year bans on both Zhu and Davies, prohibiting them from engaging in regulated financial activities within the city-state.
Zhu’s situation worsened when he faced a brief imprisonment last year for failing to cooperate with the fund’s liquidation proceedings.
Adding to their troubles, a worldwide freeze on assets worth $1.14 billion belonging to Zhu, Davies, and Davies’ wife Kelly Chen was issued.
This action was taken in response to outstanding creditor claims totaling approximately $3.3 billion.
Asset Freeze Details and Property Portfolio
The scope of the asset freeze notably includes other significant properties owned by the couple, including another mansion on Yarwood Avenue purchased for S$48.8 million in late 2021, which Zhu and his wife attempted to sell in 2022.
They are a Singapore citizen reportedly connected to the Indonesian Karim family, who control the Singapore-based palm oil conglomerate Musim Mas Group.
This transaction has drawn particular attention given the existing asset restrictions, though the specific legal implications of this sale in relation to the asset freeze remain unclear, as neither Teneo nor Zhu have provided immediate comment on the matter.
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