Bitcoin Group Makes Third Attempt to IPO in Australia

IPO
8 September 2015

Bitcoin Group is to make its third attempt to IPO this November, following two stop orders from the Australian Securities and Investments Commission (ASIC).

The Melbourne firm first announced it would pursue an initial public offering (IPO) on the Australian Securities Exchange (ASX) last October, however it has faced delays following a reprimand by the regulator in February and two stop orders on its investor prospectus in July.

According to the Sydney Morning Herald, the firm lodged an updated prospectus last Friday after ASIC lifted its second stop order. Its listing date is now set for 11th November.

Bitcoin Group CEO Sam Lee told the publication that as its IPO was precedent-setting, the revisions were required so that investors could be “fully informed”, adding:

“ASIC’s role to protect Australian investors means they need to understand our unique business model. We appreciate the patience ASIC have taken to understand what we do, and thank their co-operation in helping ensure our prospectus accurately reflects the current and future opportunity of Bitcoin Group.”

Though other bitcoin firms, including digitalBTC and Bitcoin Shop have publicly-traded shares, Bitcoin Group maintains it is the first digital currency company to IPO as it has avoided going through so-called ‘backdoor listings’.

Based in Melbourne, Bitcoin Group currently offers cryptocurrency arbitrage, but told CoinDesk it would switch to mining the currency if its IPO is a success. It plans to issue 100 million new shares at 20¢ each. Some 90% of the company’s funds will go towards buying CPU power.

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