BTCC Agrees To Sell 49% of Bitcoin Mining Pool Stake for $18.7 Million USD
The Chinese crypto exchange BTCC has decided to sell 49% of its mining pool, BTCC Pool Limited, in a non-legally binding agreement. The company intends to sell it to Value Convergence Holdings Limited, which is an asset management and financial company based in Hong Kong. Details of the upcoming sale details the acquisition of 4,900 shares (49% equity stake) over BTCC Pool.
If the deal is actually finished successfully, the company will receive a total of HK$147,000,000 ($18.73 million USD) for the sale of almost half of the shares. A clause of the contract states that the net profit of BTCC Pool has to be at least $3.82 million USD at June 2019.
Value Convergence operates securities brokerage and some other financial businesses in the region, including in China and this will be its chance to enter the cryptocurrency market. The purchase will be made via Initial Honor Limited, which is owned by Value Convergence.
BTCC, which was known as BTC China before, is the world’s oldest crypto exchange and it was banned from China last year during the government’s attack on ICOs. Earlier this year, the company was acquired by an investment fund based in Hong Kong.
The sale of the equity shares, according to the CEO of the company, Bobby Lee, will help the company to focus on overseas markets and expand its operations there.