Huobi Purportedly Seeks Reverse IPO in Hong Kong

Crypto exchange Huobi seems to be planning a reverse initial public offering (IPO), as per a document posted with the Hong Kong Stock Exchange (HKEX).

In the filing, dated September 10, Hong Kong-listed gadgets producer Pantronics Holdings Limited, procured by Huobi last August, unveiled it will change its name to Huobi Technology Holdings Limited.

The firm moved over 221 million ordinary shares to Huobi Group at its procurement, as indicated by shareholding disclosures. The $77 million deal made the crypto exchange the majority shareholder in Pantronics, with more than 73 percent stake in the firm.

The deal was reported at the time as possibly giving Huobi the chance to go public in Hong Kong through a procedure known as a reverse takeover.

In any case, the move could be influenced by the stricter guidelines on backdoor IPOs from HKEX planned for October 1. The stock exchange said it would make amendments to its present guidelines, making such transactions progressively hard for those that secure another publicly listed company in various enterprises situated in Hong Kong.

Other major firms in the cryptocurrency industry are additionally looking to go public in various jurisdictions after slowed down attempts in Hong Kong.

In the wake of mining tycoon Bitmain’s IPO endeavor in Hong Kong was permitted to lapse, because of hesitance from HKEX, it’s purportedly now intending to list in the U.S. Another miner producer, Canaan Creative, is also purported to have already secretly filed in the U.S. after a fizzled HKEX attempt.