China-based Blockchain servers and ASIC microprocessors manufacturing firm, Canaan launched a press release on November 26, revealing that it’s going to provide and promote ADSs representing their Class A abnormal shares having an combination providing value of as much as US$750,000,000.
The publication states that Canaan has entered into an At The Market Providing Settlement, as amended, or the gross sales settlement, with H.C. Wainwright & Co., LLC, or Wainwright or the Gross sales Agent, amended on November 23, 2022.
It continues that Canaan will promote their American depositary shares or the ADSs, every one representing 15 of their Class A abnormal shares, par worth US$0.00000005 per share. It additionally shared that it’s going to provide and promote ADSs representing its 6,400,563,270 Class A abnormal shares having an combination providing value of as much as US$750,000,000, issued for analysis and growth, enlargement of manufacturing scale, and different functions.
The assertion additionally confirms that neither the Securities and Change Fee nor any state securities fee has authorized or disapproved of those securities
Furthermore, the providing clarifies that 436,105,757 ADSs will stay excellent instantly after the providing, assuming the sale of ADSs within the combination quantity of US$750,000,000 at an assumed providing value of US$2.70 per ADS, which was the closing value on the NASDAQ World Market on November 23, 2022.
In the meantime, Canaan’s Chief Finance Officer, James Cheng had beforehand talked about that they anticipate Bitcoin to fall, power costs to rise, and mining firms’ money pressures to extend. With deteriorating market circumstances within the subsequent two quarters, Canaan stated it’s going to give attention to securing money move.