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Chinese Crypto Mining Giant Canaan Raises $90M during IPO in US
November 21  |  2 min read

Canaan Completes Its IPO in US, Raises Less Than 25% of Initial Target

The COIN360 Editorial Team

Chinese crypto mining giant Canaan has sold 10,000,000 shares for $9 per share during the Initial Public Offering, raising $90 million, or 22.5% of its initial target, but becoming the first major crypto mining company to be publicly traded in the US, foregoing its competitor Bitmain, reported Bloomberg on November 20.

China-based bitcoin miner manufacturer Canaan filed for an IPO with the US Securities and Exchange Commission on October 29. In the initial filing, the company indicated plans to raise $400 million.

On November 13, after Canaan lost its biggest bank partner, Credit Suisse, Canaan has updated its IPO application with the SEC, excluding the information about the partnership with a bank and reducing the appetite for funding from $400 million to around $100 million.

After the update, Canaan was seeking to offer 10 million American depositary shares (ADS), estimating the price per ADS to be between $9.00 and $11.00. While the company raised only 22.5% of its initial target of $400 million, Canaan is still the first major mining company to conduct an IPO in the US, which marks a milestone for the industry.

Canaan is the world’s second largest designer and manufacturer of ASIC mining machines with a 22% market share, behind Bitmain Technologies. In China, Canaan, Bitmain, and Yibang International are three major crypto mining companies. This summer Canaan’s competitor, Bitmain, reportedly considered filing for an IPO in the United States as well, since the application for the Hong Kong Stock Exchange expired in March.