Bitcoin-Mining Machine Manufacturer Canaan Plans to Undertake a U.S Initial Public Offering

Ruling the crypto market as the world’s second-leading manufacturer of Bitcoin mining machines, Canaan Inc. has filed for a US IPO or Initial Public Offering with the US Securities and Exchange Commission (SEC) on Monday.

The highly reputed firm of Hangzhou, China, has unveiled its offering volume as US$400 million during the filing with SEC, which will serve as a place holder and will be subjected to changes in the future. Apparently, last year, Canaan strived hard to earn a Hong Kong listing prior to the lapse of its application in November. The insiders revealed that Canaan was adamant to raise nearly $1 billion through the share sale during that time.

According to a report of the South China Morning Post, the regulatory bodies of the concerned city addressed IPOs triggered by cryptocurrency firms as “premature.” There has also been a sharp decline in the profits of the company in comparison to last year figures. Canaan has to face a net loss of $48.2 million in the six months span that ended on June 30. This loss stood as an unfavorable event in comparison to the 216.8-million-yuan profit that the firm earned in the preceding year in the same period.

The initial public offering of Canaan will be chaired by Credit Suisse Group AG, Citigroup Inc., China Renaissance Holdings Ltd., and CMB International Capital Ltd. The company is also planning to mark its presence on the Nasdaq Global Market by listing its shares under the symbol “CAN.”

Canaan’s ultimate rival firm in the field of crypto mining, Bitmain Technologies Ltd., is also contemplating to work out a U.S IPO. The news was reported by Bloomberg earlier in June this year.