- Although still in the early planning stages and without an adviser hired yet, Web3 giant Animoca Brands is considering going public, possibly in Hong Kong or the Middle East, as early as late next year.
- The potential move aims to draw “more attention to web3.”
According to a report by South China Morning Post, Animoca Brands’ co-founder Yat Siu is contemplating listing the company in Hong Kong or a Middle Eastern market, with Dubai emerging as a crypto hotspot.
Siu expressed confidence in the company’s readiness to go public, potentially in the second half of 2025. However, the IPO is still in its early stages of planning, and no adviser has been appointed yet.
Overcoming Challenges and Focusing on Growth
The intention behind the return to the public market, following the delisting in Australia in March 2020 amid cryptocurrency scrutiny, is to amplify the spotlight on “web3,” as mentioned by Siu.
He highlighted the success story of companies like Coinbase in the US and how they directed attention towards Web3. Animoca Brands hopes to replicate this success by increasing focus on web3 in the foreseeable future.
Timing Considerations
It is essential to acknowledge that Animoca’s last public valuation dates back over a year. With the cryptocurrency and NFT markets experiencing fluctuations, an IPO might have been more lucrative during their peak. However, Animoca has continued to make significant strides in the web3 space, actively investing in blockchain startups and establishing a prominent presence with projects like The Sandbox.
Despite facing challenges, such as a static growth phase and timing uncertainties, Animoca maintains its credibility with a recent valuation placing the company at $5.9 billion post a funding round in July 2022. Noteworthy investors include entities like Temasek Holdings and the Saudi Arabian government, with the ambitious Neom project infusing $50 million into the company.
As a result, Animoca’s IPO decision may be seen as caught between two phases – potentially too early during the surge of web3, cryptocurrencies, NFTs, and the metaverse, but possibly past the peak hype stage now that the company has solidified its position and gained recognition.
