TL;DR
- Circle plans an initial public offering with an expected price range between $27 and $28 per share, supported by demand exceeding 25 times the available shares.
- The company increased the number of shares to 32 million, with a potential raise of $896 million if the price reaches the top of the range, and will set the final price Wednesday evening.
- The IPO attracts long-term focused investors, with ARK Investment Management and BlackRock among the largest buyers.
Circle is preparing an IPO that could exceed the expected price range of $27 to $28 per share, driven by demand more than 25 times the available shares.
The company raised the number of shares offered to 32 million from the original 24 million, which could raise $896 million if priced at the upper limit. The IPO price will be set Wednesday night, New York time, although negotiations remain open to keep it within the initial range.
Shares will mainly be allocated to investors planning to hold long-term. Circle has not made official statements about the pricing. Stablecoins like USDC are awaiting regulations that could legitimize their use and expand acceptance. As of March this year, USDC holds about 29% of the stablecoin market.
Circle Awaits Major Funds like BlackRock
At the top of the range, Circle’s valuation would reach around $6.2 billion. And considering stock options and other instruments, the fully diluted valuation would be about $7.2 billion. Among the IPO’s notable investors are ARK Investment Management. Planning to buy up to $150 million in shares, and BlackRock, aiming to acquire around 10% of the total.
The offering is led by JPMorgan Chase, Citigroup, and Goldman Sachs. After going public, Circle will trade on the New York Stock Exchange under the symbol CRCL. Demand far exceeds the initial supply, reflecting confidence in Circle’s value proposition and USDC’s market relevance. The IPO’s outcome could shape Circle’s near-term future and its position in the crypto industry.
