Digital asset investment management company Parataxis announced that it will go public through a merger with a special purpose acquisition company (SPAC).
Parataxis announced on Wednesday that it has agreed to merge with SilverBox Corp IV, a SPAC sponsored by an affiliate of SilverBox Capital, and the deal could provide up to $640 million in funding to support Bitcoin's financial reserve strategy.
After the merger is completed, the merged company will be renamed Parataxis Holdings and will be listed on the New York Stock Exchange with the stock code 'PRTX', with an implied equity value of up to $800 million, priced at $10 per share.
The deal was initially proposed in June, including $240 million in merger funds and up to $400 million in equity credit line, immediately raising $31 million for Bitcoin purchases.
Expanding to South Korea
Parataxis founder and CEO Edward Chin stated that the deal means the company will execute its BTC reserve strategy under ample funding in the U.S., while enhancing its profitability as an institutional asset manager.
The company also plans to establish a solid foundation in South Korea, offering investors a similar BTC yield strategy.
They have established Parataxis Korea through an investment in Bridge Biotherapeutics, and since the announcement in June, its stock price has risen by about 4.5 times.
Cryptocurrency Company IPO Year
This move follows a series of high-profile cryptocurrency company listings, whether independently or through SPACs, such as the USDC stablecoin issuer Circle Internet Group, whose stock price rose 420% after going public.
Anthony Pompliano's fintech-focused SPAC ProCap Acquisition Corp went public on NASDAQ on May 20, while cryptocurrency asset management company Grayscale filed for an IPO in July.
SilverBox Corp IV has seen slight growth.
SilverBox Corp IV's stock price has seen slight growth this year, rising 5% since January, with a noticeable increase after the announcement of Parataxis's plan to go public.
Closed flat at $10.60 on Wednesday, with a slight increase of 1.7% in after-hours trading to $10.78.
