Swiss investment bank Credit Suisse is reportedly backing German Bitcoin mining operator Northern Data in its $500 million IPO.
Major European Bitcoin (BTC) mining company Northern Data is reportedly considering going public in the United States.
Germany-based Northern Data is planning to raise up to $500 million in an initial public offering, or IPO, Bloomberg reported on Monday. The company is working with Swiss investment bank Credit Suisse to proceed with the IPO, anonymous people familiar with the matter told the publication.
According to the report, the company is considering conducting a sale of new shares later in 2021, intending to boost Northern Data’s shareholder base along with its global profile. Northern Data’s shareholders include investors like Galaxy Digital founder Mike Novogratz as well as companies like investment firm Cryptology Asset Group and EOS developer Block.one.
Northern Data has been listed on Germany’s over-the-counter market since 2015, and its stock has surged more than 300% over the past year. At publishing time, Northern Data stock is trading at 112 euros ($136), down more than 11% over the past 24 hours amid a major sell-off on the crypto market, according to data from Bloomberg.
Based in the outer parts of Germany’s financial hub of Frankfurt, Northern Data operates mining data centers in areas with cheap electricity. Its largest facility, located in Rockdale, Texas, is one of the world’s largest crypto mining facilities with a planned capacity of 1 gigawatt hour by the end of 2021. The company reportedly started as a Bitcoin mining firm but later moved to operating data centers on behalf of customers.
Credit Suisse declined to comment to Cointelegraph on its involvement in Northern Data’s IPO. As previously reported, Credit Suisse was once among IPO backers for Bitcoin mining giant Canaan Creative. However, the bank renounced its involvement amid concerns over the order sufficiency in November 2019.
Northern Data declined to comment on the matter to Cointelegraph, as well.