Phoenix Group Invests $187M to Amplify Bitcoin Mining Capabilities, Following a Successful IPO
Summary:
Phoenix Group PLC, a blockchain and cryptocurrency mining firm on the Abu Dhabi Stock Exchange, is investing $187 million to strengthen its presence in Bitcoin mining. The Group announced a deal with Bitmain Development PTI Ltd for acquiring advanced mining machines. This comes after a $380-million hardware purchase from WhatsMiner, and its successful IPO. The initiatives are aimed at increasing the company's hashing power and improving its standing in the global Bitcoin mining sector.
Phoenix Group PLC, a blockchain and cryptocurrency mining company recognized on the Abu Dhabi Stock Exchange, is investing $187 million to bolster its position in the domain of Bitcoin mining. The firm's announcement, made on January 9, 2023, by its division, Phoenix Computer Equipment, clarifies that an agreement has been confirmed with Bitmain Development PTI Ltd; the agreement entails the acquisition of cutting-edge mining hardware through Cypher Capital DMCC. The disclosure underlines that the acquisitional formalities have been completed in an effort to escalate Phoenix's hashing strength, enabling the company to sharpen its global foothold in Bitcoin mining.
In a recent reveal in December 2023, Phoenix Group, based in the United Arab Emirates, publicized a $380-million new hardware purchase from WhatsMiner, with the intent to enlarge its collection of hydro cooling rigs. This purchase has been acknowledged as WhatsMiner's largest in a span of two years.
Phoenix Group marked its debut in the trading world on the Abu Dhabi Securities Exchange also in December 2023, making it one of the earliest Middle Eastern firms of its kind to go public. Consequently, the firm's share price surged to 2.32 AED (USD 0.63), and the company now boasts a market capitalization of 14.5 billion AED (USD 3.95 billion) as of January 4, 2024.
The group concluded its IPO on a high note on November 18, with a striking oversubscription of 33 times. The firm's offering of 907,323,529 shares elicited significant demand with retail investors oversubscribing the offering 180 times. Meanwhile, professional investors fueled a 22-fold oversubscription.
Following partnerships with Whatsminer and the successful IPO, the freshly inked Bitmain deal serves to further augment Phoenix Group's market share and hashing capacity.
While Cointelegraph reached out to Phoenix Group for additional information regarding this recent purchase, there has been no response from the group at the time of reporting. Experts in the cryptocurrency domain advise caution amid the volatile nature of the crypto market and suggest ways to safeguard one's crypto assets.
Published At
1/10/2024 4:37:15 PM
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