A blockchain and cryptocurrency firm is soon to go public on Nasdaq in the U.S., according to Bloomberg.
In a report
Wednesday, the news provider cited sources “familiar with the matter”
as saying that Diginex Ltd., a company providing blockchain solutions
and consultancy services, is soon to announce a merger with 8i
Enterprises Acquisition Corp.
With 8i already a Nasdaq-listed firm,
the deal would allow Diginex to go public via a backdoor listing and
avoid the regulatory complexities of a formal IPO process. The deal
would reportedly still require approval from the U.S. Securities and
Exchange Commission.
The Bloomberg sources said that, if completed, the deal would
see Hong Kong-based Diginex valued at around $276 million including
debt. Diginex shareholders would receive 20 million ordinary shares in
8i, valued at $10 each.
Both firms declined to comment on the merger, Bloomberg said.
Last month, Diginex teamed
up with FIS, a financial services technology firm, to launch a trading
tool aimed to help investors manage digital asset portfolios, the firm
says on its website.
The reverse IPO, or reverse merger, method of going public has been attempted by other crypto firms. Early this year, Bithumb and OKCoin –
both crypto exchanges – attempted to take over public companies with
the aim of achieving backdoor listings on stock exchanges in the U.S.
and Hong Kong, respectively.
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