On Monday, October 18, another crypto-based firm, Bakkt Holdings, will become a publicly listed company. This listing comes a few months after the firm outlined its plans to make this listing. With this new listing, Bakkt will be joining firms such as Coinbase that already have shares trading on leading stock exchanges.
Bakkt Holdings Merges with VPC Impact Acquisition Holdings
When Bakkt Holdings announced that it wanted to go public, it noted that an acquisition would be the way to go. To effect this, Bakkt stated that it would make this development happen through a merger with VPC Impact Acquisitions Holdings.
The merger between two firms also paved the way for ICE’s Bitcoin futures platform. Hence, its shares will be traded on a US cryptocurrency exchange. The shares will start trading on exchanges with a company valuation of around $2.1 billion.
In a press release issued at the beginning of the week, the company stated that it had finalized all the negotiations regarding the share listing. The shares will be listed as a Class A common stock. The shares will be listed at the New York Stock Exchange under the ticker symbols BKKT and BKKT WS.
Move to Increase the Firm’s Capital
Speaking on this public listing, the firm’s CEO, Gavin Michael, stated, “Today marks a special day for Bakkt. Closing the business combination provides us with the necessary capital to continue to do what we do best, which is to innovate. We are thrilled to enter the next chapter, and we look forward to propelling our growth initiatives and advancing our mission of connecting the digital economy.”
The press release also stated that Bakkt has also generated major financial gains from this merger. The gross proceeds of the merger came in at around $450 million, which is a major gain for the firm.
The firm stated that these proceeds would be used to finance investments in the firm. Among the fund’s objectives will be to boost the firm’s capabilities and boost its marketing efforts. Besides, the funds will also be used to facilitate the firm’s current and future partnerships.
Crypto firms have been enjoying a growing rate of adoption. Bakkt will be joining the likes of Coinbase, which became the first major exchange platform to become a public company. At the time of listing, Coinbase had a valuation of more than $100 billion. However, the current share price is 25% lower than what it was trading at in April.
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