Chinese Mining Company Ebang Set To Be Listed On Nasdaq

The Chinese mining company Ebang will get listed on the Nasdaq stock exchange on June 26, as it is hoping to raise $125 million in an initial public offering (IPO). The company is popular in the cryptonews media as a Bitcoin miner manufacturer and is now hoping to get listed on Nasdaq Global Market under the ticker EBON later this week, which would allow it to become the second crypto mining company to go public in the United States.

A report from the Chinese Bitcoin news outlet Blockbeats shows that the Chinese mining company Ebang will be officially listed this Friday, on June 26. Additionally, the chief strategy officer at the firm, Samson Mow, tweeted a screenshot of an invitation to an Ebang event which will be held on Friday at a hotel in Hangzhou, where the company is headquartered.

Most people don’t know that Ebang filed for a $100 million initial public offering (IPO) with the United States Securities and Exchange Commission (SEC) in April this year. This is how the firm decided to enter the US stock market, right after its unsuccessful attempt to conduct a $1 billion IPO in Hong Kong in 2018.

As we can see now, the Chinese mining company Ebang is looking to raise $106 million by putting around 19.3 million shares at a price range of $4.50 to $6.50. This would mean that it now intends to raise around $125 million, while the initial proposal was hard-capped at $100 million.

If this IPO is successful, Ebang and its market value could come close to $800 million. Notably, the sales have been decreasing since 2018 and in 2019, the annual revenue of this Chinese mining company was $109 million, which constituted a drop of 66% in its growth (coming from $319 million in 2018).

In the latest filings, we can see that 2020 might not necessarily be the comeback year for Ebang. With a revenue of $108 million, the Chinese mining company Ebang wants to improve its operations in the future – and 2020 to begin with. However, its Q1 2020 report shows that this year, after all, might not be the perfect time for it. Reporting a net loss of $2.5 million for this quarter, Ebang is blaming the “significant decrease in certain non-recurring local government’s tax rebates.”

There are only a few Bitcoin mining firms listed on a US stock exchange which is still good news for Ebang and the Chinese economy.