U.S. Bitcoin mining firm Stronghold Digital Mining will checklist virtually six million shares in an preliminary public providing on the Nasdaq.
Stronghold plans to checklist 5,882,352 Class A typical inventory shares priced between $16 and $18 beneath the ticker “SDIG”. Taking the common proposed providing worth places the IPO at round $100 million.
The Kennerdell, Pennsylvania-based agency first filed with the Securities and Trade Fee for a Nasdaq IPO in July. It would fund an virtually 900% growth in capability within the coming yr. The ultimate prospectus has already been filed with the SEC, but it surely has but to change into efficient.
Stronghold plans to change into the primary North American crypto mining firm to go public by means of an precise IPO, in line with Nasdaq. That is totally different from the now standard direct itemizing and Special Purpose Acquisition Companies (SPAC) avenues.
Stronghold intends to grant underwriters, or intermediaries that assist the agency put together for the providing, a 30-day choice to buy as many as 882,352 extra shares of its inventory on the IPO worth, along with the 5.8 million providing to the general public.
B. Riley Securities, Inc. and Cowen will probably be appearing as joint book-running managers, whereas Tudor, Pickering, Holt & Co. are serving as lead managers.
Stronghold describes itself as an “rising progress firm” which presently operates roughly 3,000 crypto miners with a hash charge capability of round 185 petahash per second (PH/s) in line with the prospectus.
It acknowledged that it has entered into agreements with three suppliers to supply an extra 26,150 miners with a complete hash charge capability of over 2,500 PH/s. Supply of 72% of them has been scheduled for supply this yr, with the rest being delivered in 2022.
Stronghold intends to amass much more {hardware} with the proceeds of the IPO as an extra 55,800 miners have been deliberate.
Associated: US miner raises $105M to recycle waste coal into crypto
The agency owns and operates the “Scrubgrass Plant” in Pennsylvania which has been acknowledged as a substitute vitality supply because it converts waste coal into vitality. The prospectus acknowledged:
“We’re dedicated to producing our vitality and managing our belongings sustainably, and we consider that we’re one of many first vertically built-in crypto asset mining firms with a concentrate on environmentally helpful operations.”
Replace: Following the publication of this text, MicroStrategy founder Michael Saylor tweeted an endorsement:
Bitcoin grows stronger every time a miner goes public.
