Report: Iris Energy Seeking $200 Million Ahead Of Nasdaq Listing

Sustainable bitcoin miner Iris Energy is reportedly seeking a $200 million fundraising round to aid its plans for listing on the Nasdaq.

According to Bloomberg, bitcoin mining company Iris Energy is planning a $200 million fundraising round before seeking a direct listing on the Nasdaq.

The Australian company has reportedly met with prospective investors and is working with an adviser on the round. The proceeds would reportedly help Iris prepare for the Nasdaq listing, which it plans to realize this year.

In May, the company’s executive director and cofounder Daniel Roberts said that Iris was exploring options for special purpose acquisition companies (SPAC) but has since shifted its intentions. Now, the company is apparently favoring a private placement, which, according to the report, doesn’t offer new shares and thus doesn’t dilute the existing investors’ stakes as much as an SPAC deal would. However, not even the direct listing is certain, as discussions are still ongoing.

Iris currently operates a 9 megawatt (MW) bitcoin mining data center in British Columbia, Canada, and plans to expand it to 30 MW in 2021. In May, the company raised around $82 million to secure additional data center development sites and new computing hardware. And later that month, it secured a $50 million equipment financing deal to purchase additional bitcoin mining servers and expand its operations in Canada.

The bitcoin miner’s business model consists, according to its website, of powering server infrastructure with renewable energy to provide network security support to an undisclosed Bitcoin mining pool. The company also plans to increase its reach in Canada and penetrate other markets, including the U.S. and Asia-Pacific region, soon.

Many bitcoin mining companies have recently enjoyed successful funding rounds. In under a month, a mining farm turning waste coal into BTC raised $105 million to expand its operations, Blockware raised $25 million to build out facilities in Kentucky and BIT raised $50 million to move its operations out of China.

Additionally, HIVE Blockchain received approval for listing on the Nasdaq Capital Markets exchange in late June. However, Iris Energy’s sought-after listing is still uncertain as the company seeks the best way to open its capital to the public.