#CircleIPO Circle is set to go public on the New York Stock Exchange (NYSE) with the ticker "CRCL" as early as this week, possibly on June 5, 2025. This makes it the first stablecoin issuer to go public on a major exchange.
* Increased size and price of the offering: Initially, Circle planned to offer 24 million shares at a price between $24 and $26 per share. However, due to strong investor demand, it has expanded its offering to 32 million shares and raised the price range to between $27 and $28 per share.
* Higher target valuation: With this revision, Circle aims for a valuation of up to $7.2 billion, a considerably higher figure than its initial estimates of around $6 billion.
* Potential fundraising: The company aims to raise up to $896 million with this offering.
* Major underwriters: Top investment banks like J.P. Morgan, Citigroup, and Goldman Sachs are leading the offering, indicating strong institutional backing.
* Interest from key investors: Firms like ARK Investment Management (by Cathie Wood) have expressed interest in acquiring a significant portion of the shares in the IPO.
* Favorable context: This move comes at a time of increasing optimism in the cryptocurrency and stablecoin market, especially with the expectation of clearer legislation regarding stablecoins in the U.S., which could benefit USDC. Interest income from USDC reserves (backed by U.S. Treasury bonds) has also been a significant source of revenue for Circle.
* Previous failed attempts: It is important to remember that this is Circle's second attempt to go public. Its previous plan for a $9 billion SPAC merger was canceled in December 2022 due to regulatory concerns and market conditions.
In summary, Circle's IPO is a historic milestone for the stablecoin and cryptocurrency industry as a whole, marking a growing acceptance of these assets in the traditional financial market. Robust demand suggests investor confidence in Circle's business model and the future of regulated stablecoins.
