HashKey Said To Target Upper-End Pricing For Its Hong Kong IPO
HashKey, operator of Hong Kong’s largest licensed crypto change, is ready to cost its preliminary public providing close to the top quality, elevating about HK$1.6B ($206M) in a key take a look at of demand for regulated digital asset platforms within the metropolis.
The firm bought 240.6M shares at HK$6.68 every, Bloomberg reported Monday, after advertising the supply in a variety of HK$5.95 to HK$6.95. HashKey didn’t train an possibility to extend the scale of the deal.
Investor curiosity was robust. The prime 20 entities within the institutional ebook took roughly 80% of the shares out there in that tranche, excluding inventory earmarked for cornerstone patrons, the outlet stated. Overall demand ran at a number of instances the variety of shares on supply.
HashKey is bidding to become Hong Kong’s first listed crypto exchange, in a transaction that can gauge how a lot public market urge for food stays for compliant digital asset venues after the newest leg of the cycle. The itemizing additionally lands in an energetic 12 months for Hong Kong IPOs, with complete proceeds on observe for a 4 12 months high.
The firm had earlier flagged plans to promote about 240.6M shares globally, with round 24.1M reserved for Hong Kong traders and the remaining allotted internationally. At the highest of the marketed vary, the deal would have raised as much as HK$1.67B and valued HashKey at about HK$19B, in accordance with its prospectus.
HashKey’s shares are scheduled to begin buying and selling on Wednesday in Hong Kong. JPMorgan Chase and Guotai Junan are joint sponsors of the providing.
IPO Will Test Whether Investors Back Hong Kong’s Leading Regulated Crypto Exchange
HashKey was among the many first exchanges to safe a licence below Hong Kong’s devoted digital asset regime, launched in 2022 as the town sought to tug buying and selling onshore from offshore venues.
Research cited in its submitting stated HashKey holds greater than 75% of Hong Kong’s onshore digital asset buying and selling quantity, giving it a dominant share within the regulated phase of the market.
Beyond spot buying and selling, HashKey runs one in every of Asia’s bigger on chain companies platforms, providing staking, tokenisation and custodial know-how for a number of protocols. It additionally manages billions in shopper property by means of funds and structured merchandise geared toward institutional and high internet price traders.
Proceeds from the IPO will go towards scaling its know-how stack and infrastructure, hiring extra workers and strengthening threat administration, the corporate has stated. Those investments are supposed to place HashKey as a core beneficiary if Hong Kong’s push to turn into a regional digital asset hub positive factors additional traction.
The timing of the debut is just not with out challenges. Bitcoin has fallen about 30% from its document high in October, and world threat urge for food has softened as merchants reassess how a lot they wish to pay for progress and AI associated tales.
For crypto-focused traders, HashKey’s first day efficiency will supply an early learn on whether or not public fairness patrons are able to again regulated exchanges at premium valuations.
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