Chinese mining giant Ebang intends to raise $ 100 million through IPO in the USA

Major mining equipment manufacturer Ebang International filed with the US Securities and Exchange Commissionan application for an initial public offering (IPO), during which the company intends to raise up to $ 100 million. This was reported on the website of the department.

The Chinese company intends to place Class A ordinary shares on the New York Stock Exchange or on the Nasdaq Global Market under the ticker symbol EBON with a par value of Hong Kong dollar 0.001 ($ 0.00013).

Today, Ebang is one of the largest inworld manufacturers of mining equipment. However, last year the company's revenues decreased almost threefold compared to 2018, amounting to $ 109 million against $ 319 million, respectively.

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Moreover, in 2019, the company closed at a loss of $ 30.5 million. A year earlier, gross profit was $ 24.4 million.

In 2019, the lion's share of Ebang's revenuegenerated sales of miners of the E12 and E10 series. However, the number of goods sold and the average price of devices steadily declined. In particular, in 2018, the company sold 415,930 chips at an average price of $ 737, and in 2019 it managed to sell only 289,953 chips for $ 304.

“Bitcoin price drop in 2018 and in the firstthe quarter of 2019 led to a significant decrease in sales and the average price of mining equipment. Despite the fact that Bitcoin began to recover in the second quarter of 2019, our operating activities are still behind the BTC price ”, - representatives of Ebang declared.

They added that the coronavirus pandemic is negativeaffected not only the price of bitcoin, but also on the activities of the company. The latter had to suspend operations in connection with quarantine measures, having also encountered serious problems with the supply chains.

Recall that last year Ebang refused to conduct an IPO on the Hong Kong Stock Exchange.

ForkLog also previously reported a lawsuit against Ebang.