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Crypto exchange HashKey seeks up to US$215 mil from Hong Kong IPO

Dave Sebastian / Bloomberg
Dave Sebastian / Bloomberg • 2 min read
Crypto exchange HashKey seeks up to US$215 mil from Hong Kong IPO
The company is offering 240.6 million shares at HK$5.95 to HK$6.95 each
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(Dec 9): HashKey Holdings Ltd, operator of Hong Kong’s largest licensed crypto exchange, is seeking to raise as much as HK$1.67 billion through an initial public offering.

The company is offering 240.6 million shares at HK$5.95 to HK$6.95 each, according to a filing to the Hong Kong stock exchange on Tuesday (Dec 9). At the top of the range, HashKey would be valued at roughly HK$19 billion, the filing said. Investor order books are open from Tuesday through Friday, as reported earlier by Bloomberg News, with trading set to begin on Dec 17.

The IPO marks a key test of Hong Kong’s push to become a regional hub for digital assets. It also is part of the last wave of companies driving a strong year for listings, with proceeds on pace to hit a four-year high. Its debut would come at a volatile time for digital assets, with Bitcoin falling from a record high in October.

HashKey was one of the earliest crypto exchanges to be licensed in Hong Kong, after the city unveiled a dedicated digital-asset regime in 2022. Its businesses span crypto trading, venture capital and asset management. Proceeds from the IPO will go toward scaling its technology and infrastructure, hiring talent and bolstering risk controls, the company said.

Cornerstone investors, which get guaranteed allocation in the IPO in exchange for holding the shares for at least six months, have agreed to buy US$75 million worth of HashKey shares. They include UBS Group AG’s asset-management arm, Fidelity International and Infini Capital.

In the race to establish Asia’s top destination for crypto firms, Hong Kong has had mixed results. It has so far given the green light to 11 exchanges, a list that doesn’t include the world’s largest global platforms, such as Binance and Coinbase.

See also: Toku, an AI-powered customer experience platform, lodges preliminary prospectus with MAS for IPO

The city’s crypto-focused exchange-traded funds — one of which is partly managed by HashKey alongside Bosera Asset Management — have drawn modest inflows compared with their US counterparts.

HashKey counts Gaorong Ventures, an early backer of Meituan and PDD Holdings Inc, among its shareholders. Gaorong invested US$30 million in HashKey Group at a pre-money valuation above US$1 billion, people familiar with the matter said earlier this year.

JPMorgan Chase & Co and Guotai Junan are joint sponsors of HashKey’s IPO.

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