$7.7 Mln Shares
Turo looks to hit the fast lane through a public listing. Here’s what to know
As per an official statement, the management plans to list the stock on the Nasdaq stock exchange under the ticker symbol RHDM, a move that is expected to validate the growing acceptance and success of Bitcoin. Riley Securities is the book-running manager.
IPO Proceeds
Funds raised through the offering will be used mainly to repay debt and interest on loans. The remaining amount will be earmarked for expanding the business and for general corporate purposes. The focus of capital spending would be the acquisition of new mining hardware and technologies like liquid-cooling that helps in mining Bitcoin efficiently.
In the nine months ended September 30, 2021, Rhodium generated total revenues of $82.1 million, compared to near-flat revenues in the same period of 2020. The company turned to a net profit of $12.8 million or $0.10 per share during the period, from a loss of $0.7 million in the prior year.
The Fort Worth-based digital asset technology company was founded by Chase Blackmon, Cameron Blackmon, and Nathan Nichols, who is leading it as chief executive officer. A rapidly growing operator of cryptocurrency hardware, Rhodium is looking to become a full-fledged Bitcoin mining platform, leveraging its liquid-cooled computers.
Capacity Expansion
The company is currently expanding capacity at its Texas facility, targeting a total capacity of about 350 MW by mid-year. It looks to gain an edge over competitors, aided by its low-cost Bitcoin mining capability and integrated infrastructure platform.
Read management/analysts’ comments on quarterly reports
Meanwhile, the ongoing chip shortage and supply chain issues might affect near-term growth initiatives that demand a large number of high-performing computers. The crypto industry is facing criticism for heavy power consumption associated with the mining process, representing a very high carbon footprint.