On 20th of December, Ebang, a major Chinese manufacturer of mining equipment, re-issued an application for an initial public offering (IPO) on the Hong Kong Stock Exchange (HKEX). In the document, the company indicated a "substantial decline" in profits in the third quarter of 2018, CoinDesk reports.
We experienced significant decreases in revenue and gross profit for the three months ended September 30, 2018 compared to the preceding three months ended June 30, 2018.
In the first six months of 2018, Ebang received $ 304 million in profit, which is eight times more than the numbers for the same period of the previous year, and net revenues amounted to $ 135 million.
Ebang did not disclose the details of the third quarter financial statement in the first application. However, a source familiar with the situation noted that the company should provide this information so that the IPO application remains relevant next year.
At the moment, it is not known how much Ebang plans to attract at the IPO, however, a source at CoinDesk said that the company had reduced the amount more than twice since the first application was made.
For the first time, Ebang’s plans to launch an IPO became known in May of this year. It was reported that the company is going to raise $ 1 billion.