Equos Parent Company, Diginex, Raises $20M Ahead of Planned Nasdaq Listing Later This Month
Diginex, the Hong Kong-based parent company of the cryptocurrency exchange Equos has raised $20 million ahead of its panning listing on the Nasdaq stock market later this month.
The funding was raised from a group of private investors through the placement of convertible notes, including family offices in Hong Kong and London, and a hedge fund reported Bloomberg.
Diginex chief executive officer, Richard Byworth said the private placement was necessary from the standpoint of investors assessing the company's upcoming takeover by 8i Enterprises Acquisition Corp. He said,
“This fundraise was an important initiative to ensure we are well capitalized to invest in our core businesses as we embark on our journey to become one of the world’s leading digital asset firms.”
The private fundraising announcement came before its shareholder vote on Sept. 15 on its takeover by 8i Enterprises.
The funds raised meanwhile will be used for capital expenditures. Diginex is also planning to shrink its Hong Kong office of 80 people, which is two-thirds of its global staff, and relocate them to Singapore along with its exchange business.
As for the exchange’s listing on Nasdaq, the company is seeking to get listed on Sept. 23rd if it gains approval from the Nasdaq and 8i shareholders. The US Securities and Exchange Commission (SEC) has already approved the listing.