Phoenix Group, a major Abu Dhabi-based bitcoin mining service provider, recently announced the successful completion of its Initial Public Offering (IPO), securing substantial capital of $370 million.
In a statement released this week, Phoenix Group revealed that the IPO, launched on the Abu Dhabi Stock Exchange (ADX), witnessed an overwhelming response, with subscriptions exceeding the initial offering price by 33 times.
In particular, the enthusiasm among retail investors was especially surprising: subscriptions exceeded expectations by 180 times.
Phoenix Group IPO Details
The public offering, which began on November 16 and concluded on November 18, involved the sale of 907 million shares. This represented 17.64% of the company’s holdings, with the goal of raising 1.3 billion UAE dirhams, approximately $370 million. The shares are scheduled to begin trading on December 4 under the symbol PHX.
Phoenix Group’s operations span a variety of sectors within the crypto industry. The company has established itself in several global markets, including the US, Canada, Europe and the Middle East, focusing on Bitcoin mining and hosting services. Additionally, Phoenix Group has ventured into retail-oriented businesses, selling miners and hardware wallets, and operates M2, a regulated crypto investment platform in Abu Dhabi.
Reflecting on its financial achievements, Phoenix Group disclosed in its IPO prospectus a gross profit of $76 million for the first nine months of the current year, generated from revenue of $229 million.
The year 2022 was especially fruitful for the company, with a gross profit of $171 million and a gross margin of 22.6%.
