Bitcoin Miner Maker ‘Ebang Communication’ Seeks To Join Hong Kong Stock Exchange (HKEX)

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Bitcoin Miner Maker ‘Ebang Communication’ Seeks To Join Hong Kong Stock Exchange (HKEX)
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Outside the crypto market, Ebang Communication has positioned itself as a major bitcoin mining chip maker in China but will now look to nail a place in the Hong Kong Stock Exchange (HKEX) in the coming months.
The firm has followed the steps of rivals ‘Canaan Creative’ by filing an application on Monday to be listed for an Initial Public Offering (IPO), the first in the corporation’s existence.
There were rumors in May that the agency was speaking with its advisors regarding a public listing, but the latest submission has confirmed Ebang’s ambitions.
Perhaps even more ambitious is the fact that the company is aiming to raise $1 billion from investors for its business operations.
If achieved, this will be a record for a blockchain company in the HKEX and will directly increase profitability for Ebang communications.
The company started off in 2010 as a telecommunications hardware manufacturer before drifting to Bitcoin miners following the rise of the cryptocurrency industry. It subsequently released Ebit miners sometime in 2016 and has been on the rise ever since.
Data disclosed in the application for IPO listing revealed that the company has not poorly fared, generating 925 million yuan (approximately $141 million) in revenue only in 2017.
94.6 percent of Ebang’s revenue was reportedly generated from the sale of Bitcoin miners.
380 million yuan (app. $60 million) was the net profit numbers in 2017 for the corporation, reinforcing just why it could do so well in the Stock market.
Since the application is still in draft form, however, a defined valuation of the Zhejiang-based company cannot be provided.
A successful IPO listing will likely attract investors and provide Ebang with the needed resources to compete with industry giants Bitmain who still claim a majority of bitcoin miners market share.
Now the HKEX will make a decision that can shape up the competition in the crypto mining hardware market and even possibly raising the quality of bitcoin miners released to mining companies.