+ 2.93
+ 0.87%
+ 3.04
+ 0.9%
+ 3.77
+ 0.91%
+ 0.28
+ 0.2%
+ 1.62
+ 0.97%

Bitcoin Mining Maker Canaan Shares Rise And Fall On Day One After $90M IPO

November 22, 2019 2:00 am
Share to Linkedin Share to Twitter Share to Facebook Share to Print License More
Bitcoin Mining Maker Canaan Shares Rise And Fall On Day One After $90M IPO

Bitcoin mining equipment maker Canaan Inc. (NASDAQ:CAN) made its trading debut on the Nasdaq exchange on Thursday.

What Happened

The China-based company raised $90 million in an initial public offering on Wednesday by selling 10 million American Depositary Shares at $9 each.

Canaan’s shares surged up to 39.4% in the first two hours of trading at $12.54 before dropping. Its shares remained relatively flat for the rest of the day, closing at $8.99, a cent below its offer price of $9.

Why It Matters

This was Canaan’s third attempt to go public. The company unsuccessfully tried to do an IPO in both mainland China and Hong Kong last year.

Canaan is the world’s second-largest cryptocurrency mining equipment manufacturer after its Chinese compatriot Bitmain Technologies Ltd which controls a majority share in the market.

The company was looking to raise as much as $1 billion at the start of the year but humbled its goal significantly to $400 million in its latest filing in October.

Canaan further reduced its IPO target to $90 million after losing its key underwriter Credit Suisse (NYSE:CS), according to Bloomberg, as the bank was concerned "whether the offering could secure sufficient orders."

Photo credit: bfishadow via Wikimedia

Related Articles

Why Canaan, Sos, Riot Blockchain, Ebang, Marathon Patent, Bit Digital, AirNet Stocks Skyrocketed Today

Shares of several cryptocurrency-related companies soared on Tuesday as Bitcoin (CRYPTO: BTC) posted a major recovery from a low of $49,506 on Monday to trade at $54,566.20 at press time. read more

Another Chinese Bitcoin Mining Device Maker Files To Go Public In US

Bitcoin (BTC) mining equipment manufacturer Ebang International Holdings has filed to go public in the United States, CoinDesk reported Saturday. read more

3 Cyrptocurrency Stocks That Will Probably Move Lower

The stock of bitcoin miner Canaan Inc. (NASDAQ: CAN) has formed a classic head and shoulders pattern. Unfortunately, for Canaan shareholders, the pattern has bearish implications. read more

Two Contrary Bitcoin Tales: How Crypto Mining Equipment Is Buoying Nvidia's Numbers and Pushing Down Canaan's

Nvidia Corporation (NASDAQ: NVDA) said on its annual investor day it is raising its first-quarter revenue estimate for newly introduced mining hardware. read more