Bitmain Technologies Ltd., the world-renowned Beijing-based company that manufactures bitcoin mining chips, has renewed its plans to go for an IPO (short for Initial Public Offering) as Bitcoin experiences a price surge. The crypto enthusiasts are already aware of the fact that the number 1 digital currency had recorded its all-time high on Friday since March last year; in fact, it was being traded at 10,770.46 USD at the time of writing.
Experts say it is a surge that has rekindled Bitmain’s interest in going for the IPO. The entity is apparently working closely with the advisors as a form of preparation for its share sale in the United States market. Some reports suggest the company plans to hold the share sale in the 2nd half this ongoing year. Apart from that, Bitmain is also targeting towards filing the listing documents by the forthcoming month with the Securities and Exchange Commission of the United States.
The company had a valuation of 15 billion dollars in the previous year during a private round of funding. However, it is planning to decrease its initial fundraising targets because of the undying volatility noted in the prices of digital currencies. Apparently, the firm is looking to raise around 300 million dollars to 500 million dollars through its US share offering, as per the sources.
For those who came in late, Bitmain Technologies was previously seeking an IPO of a massive figure that amounted to 3 billion dollars in Hong Kong, the application of which expired in March. But experts point out the fact that Bitmain is not the only company that has let its application for Hong Kong IPO lapse; there are others too like Canaan Inc. and Ebang International Holdings Inc. While the former is also considering to go for the US IPO, the latter has let go of its plans to conduct an IPO in Hong Kong for the 2nd time.
The reports also stated that the Bitmain IPO deliberations are still at an initial stage, adding that there is a complete possibility that the offering details could change.