The Canaan Creative application for initial public offering (IPO) may be questionable, as the applications of the Chinese manufacturer of miningMining
– is a type of activity for creating new blocks in the Blockchain to ensure proper system operation. Details equipment to the Hong Kong Stock Exchange (HKEX) occurred after the specified time, – as reported by CoinDesk.
According to an update in the HKEX database on Thursday (November 15), the Canaan IPO application has exceeded its service life by six months since its first submission. The company seems to have sought to raise up to $ 2 billion, but a Reuters report says that Canaan cut the plan and aimed at $ 400 million.
IPO, Initial Public Offering – the first public sale of shares of a joint stock company, including in the form of the sale of depositary receipts for shares, to an unlimited number of persons.
Based on the listing rules and recommendations provided by HKEX, an IPO issuer can send an application for instant submission after the "initial" period of attracting investments ends. But if, after the expiration date, the delay lasts three months or more, the firm must submit a new application, and the previous application will be considered "outdated".
Executive Director of Canaan Creative declined to comment on this issue. Currently Canaan feed to HKEX is not available.
The official change of the status of crypto-platforms and IPO occurs a few weeks after their launch. This law came into effect after the Securities and Futures Commission (SFC) in Hong Kong introduced a new rule applicable to firms with crypto assets under management.
The Reuters report, citing anonymous sources, also states that HKEX and financial regulators in Hong Kong raised questions on the Canaan business model, given the unstable nature of cryptocurrencies. Reuters news agency said that this year the IPO may not move forward, as there were no updates from the list of hearings with HKEX.
Editor: Alyona Nabok