One of the biggest crypto exchanges in the world, Huobi, looks poised to go public with the firm’s proposed takeover of another publicly listed company, public records filed on August 21 show.
Shareholding disclosures filed by the company in question, Pantronics Holdings, reveal that the company is transferring over 221 million shares to Li Lin, the chairman of Huobi Group using several of Huobi’s subsidiaries.
The disclosures show that Li could become the largest shareholder in Pantronics. The transaction is priced at HK$2.72 or about $0.35 per share, with the total reaching $77 million.
If the deal is approved, this could give Huobi the opportunity to take over an already publicly listed company and enter the secondary financial market.
Pantronics is an electronics manufacturing firm that was formed in 1990 and went public in 2016. The company is yet to make an official statement about the deal, while Huobi is still waiting for approval from the Hong Kong Stock Exchange.
Pantronics has already stopped trading of their shares on the stock exchange starting on August 22, “pending the release of an announcement relating to a possible offer to be made … on Takeovers and Mergers, which is inside information in nature,” the firm says.
After the news broke, Huobi’s token jumped up by 8 percent and saw a six percent jump up in the past 24 hours, according to data from CoinMarketCap.
Huobi isn’t the only crypto firm looking to go public in Hong Kong. Bitcoin miner hardware makers Canaan Creative and Ebang are also looking to go public, and Bitmain is reported to be considering an $18 billion IPO.
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