Ebang files for IPO on Hong Kong Stock Exchange

June 25, 2018
Chris Wheal

China-based Bitcoin mining hardware manufacturer, Ebang Communication, has filed for an initial public offering (IPO) with the Hong Kong Stock Exchange.

Mining hardware Source: Shutterstock.com

Although there were few details available about the amount it was seeking to raise for its IPO, Reuters reported in May that the Zhejiang-based firm along with China’s Caanan Creative were both working with advisers on a Hong Kong float and would seek to to raise $1bn each eclipsing other cryptocurrency listings.

Ebang’s financial findings shows growth and the company is said to have earned 925m yuan ($141m) in revenue in 2017, a eighteen fold increase on its 2016 figure. However, in contrast to the conservative estimates of a larger player Beijing-based Bitmain, which is said to have between $3bn and $4bn in 2017.

Supporting growth?

Statistical provider, alTanga said a proportion of Ebang’s revenue generated solely from the sale of Bitcoin miners has significantly increased year-on-year, rising from 31% in 2015 to 42% in 2015, to 94.6% in 2017.

Ebang is also said to be in the process of readying a roll out of Bitcoin miners equipped with next generation 7nm semiconductor chips, which have already been in development by Japanese tech conglomerate GMO since 2017 and officially launched this spring.

The drive for more funding to support further growth and continuing demand for its hardware comes even as the cryptocurrency market is roiled with Bitcoin dropping below $6,000 for the first time since November 2017.

 

Post written by Chris Wheal
Chris Wheal is editor of OpenLedger's news and features service. An award-wining business journalists himself, he runs a team of freelance journalists from across the UK and north America.

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