In its debut in the London stock market, Argo Blockchain raised $32.5 million. This move has made the crypto mining firm the first cryptocurrency mining firm being listed in the LSE (London Stock Exchange).
Listing In The London Stock Exchange
The Argo Blockchain crypto firm, which has its data center based both in Canada and itself is headquartered in London, made its debut in the LSE on Friday and raised £25 million ($32 million) in its first Initial Public Offering (IPO). It will be trading under the name ARB. Argo has listed a total of 156 million ordinary shares, which represents about 53.2% of the shared capital it was issued going by the initial admission document from the LSE. With each share being valued at 16p, the crypto miner was valued at £47 million ($61.2 million).
Argo had initially planned to reach a £40 million valuation though raising £20 million in the listing. The initial admission document, however, states that the there was a significant over-subscription in the placing which resulted in the firm raising more than it had initially anticipated. It has been reported that Argo’s main aim of getting listed in the London stock exchange was raising its public profile and at the same time receive more funds for its future projects.
Jonathan Bixby, who is the Chief Executive Office of Argo, said that the LSE listing was a major step towards the development of the company, and would enable it to be in a stronger position when executing its growth strategy in the long term. He registered his surprise and delight of the response that the company received from the various investors, saying that the investment would be very important in helping the company expand across multiple other jurisdictions.
Argo Blockchain Crypto Services
Having been established in 2017 December, Argo Blockchain was to offer subscription-based crypto mining services which would be easily accessible through its subscription model. The company received its approval for LSE listing back in May and by June it was already launching the platform.
The company works by mining cryptocurrency for its subscribers, who then pay for these services through a monthly fee. The company also offers its subscribers varying rewards depending on the package they subscribe to. The company mines a variety of cryptocurrencies including Bitcoin Gold (BTG), Ethereum (ETH), Zcash (ZEC) and Ethereum Classic (ETC), its website, however, states that the all its offerings have been sold out at the moment.
Other Potential Listings
Argo is not the only company in the crypto industry looking to tap into the potential that the stock market provides. According to reports, another crypto firm Bitmain, which is the leading crypto mining equipment producer, would consider going public. Unsubstantiated reports have said that Bitmain would be conducting a preliminary IPO that would not be open to the public and would be conducted abroad. This reported preliminary IPO is said would be done very quickly. It is said that this may be largely due to the internet revenue the firm received in its 2018 first quarter, a total of $1 billion.