Crypto mining gear maker Ebang has refiled its draft IPO prospectus with the Hong Kong Stock Exchange (HKEX), stating it has found “significant decreases” in income and gross income in Q3 2018.
In accordance to the HKEX filing databases, Ebang submitted the new draft software on Dec. 20 with disclosures of its financial details up right until June 30 of this yr, after its initially software to sell shares on the exchange experienced lapsed.
Ebang’s most current figures expose that, for the initially six months of 2018, it took 2.1 billion yuan ($304 million) in income – 8 periods as substantially as the exact period of time in 2017. The income for the initially half of this yr is also up appreciably at $135 million. Which is 16 periods that found in H1 2017.
In the “Material adverse change” portion of the new filing, Ebang indicated that typical month to month revenue orders for its bitcoin mining devices in Q3 2018 had been notably down, stating:
“We seasoned considerable decreases in income and gross income for the a few months ended September 30, 2018 in comparison to the previous a few months ended June 30, 2018. ”
On the other hand, the company didn’t decide on to expose in-depth figures for Q3, when the over-all crypto sector begun to consider a noteworthy dip – a variable that fears the HKEX when evaluating IPO apps from crypto mining firms this sort of as Ebang and Bitmain.
Based on the HKEX’s existing listing requirements, the financial period of time documented by any new applicant “must not have ended additional than six months from the day of the listing document.” As this sort of, Ebang was compelled to disclose financial quantities up to June 30, but was permitted not to disclose its Q3 records at this place.
However, a resource familiar with the filings explained to CoinDesk the two Ebang and Bitmain will the two however have to disclose their Q3 financials to the HKEX at the starting of 2019, really should they want to go the IPO approach to a listing hearing.
Even though it remains unfamiliar how substantially Ebang intends to raise, the resource explained to CoinDesk its prepared supply dimensions has been “reduced by additional than half” since the firm’s initial filing. A Reuters report advised in May well that Ebang was in search of to raise as substantially as $1 billion.
Ebang initially submitted its software to the HKEX on June 24, in which it revealed only financial details for the period of time ending Dec. 31, 2017. That software grew to become inactive nearly six-months just after the initial filing day.
Mining devices graphic through Shutterstock