Key Developments in Animoca Brands' Public Market Strategy
Animoca Brands co-founder Yat Siu has announced a planned reverse takeover of Nasdaq-listed Currenc Group Inc., aiming to list Animoca on Nasdaq. This move is expected to grant shareholders 95% ownership of the new entity. This strategic move signifies a notable advancement for Animoca into public markets, promising to potentially enhance investor trust and drive substantial market interest.
Animoca Brands' Strategic Move to Nasdaq
Animoca Brands, a prominent name in the blockchain and gaming industry, seeks to achieve a public listing on Nasdaq. Through a reverse takeover, Animoca plans to merge with Currenc Group Inc., a fintech listed on Nasdaq. Upon completion, Animoca Brands' shareholders will own approximately 95% of the merged entity. This strategic move is designed to strengthen Animoca’s institutional presence in the market.
Currenc Group's stock has seen a significant increase, rallying nearly 99% as the market expects an upcoming merger. This illustrates the financial confidence placed in the potential growth of the combined company, pending regulatory approvals.
Yat Siu, co-founder of Animoca, expressed enthusiasm over this move, describing it as a crucial step toward engagement with institutional investors. Meanwhile, Currenc's CEO Alex Kong called the merger a significant milestone, highlighting its potential to expand market presence.
"We are thrilled to announce that Animoca Brands has taken another important step to bolster its institutional strength by entering into a non-binding Letter of Intent to undertake a reverse merger with Currenc, a Nasdaq-listed fintech innovator..." - Yat Siu, Animoca Brands
Reverse Mergers in Crypto: A Growing Trend
Reverse mergers in the crypto industry have gained traction since the Core Scientific-SPAC deal in 2021, opening access to regulated markets for emerging digital companies.
Ethereum (ETH) is trading at $3,707.82 with a market cap of $447.53 billion. Its 24-hour trading volume surged by 100.42%, reflecting significant market activity despite recent price declines of 4.50% over the past day and 10.65% over the week.
Coincu research comments that the reverse takeover of Currenc Group by Animoca Brands is an example of digital asset companies leveraging established market platforms. This aligns with trends of seeking broader investor access and regulatory compliance.