- Circle is preparing for its IPO on the NYSE with plans to offer 24 million shares and aim for a valuation of around $6.7 billion.
- Circle clearly states the IPO is unrelated to Ripple, focusing instead on expanding its USDC ecosystem and public accountability.
Circle, the company behind the USDC stablecoin, is preparing to list on the New York Stock Exchange through an initial public offering (IPO). Notably, this will include newly issued shares and shares sold by existing investors. As revealed, the firm made it known that this move has no connection with Ripple Labs or any planned acquisition.
Circle Moves Forward With IPO Plans
It is noteworthy that USDC issuer Circle has formally fulfilled its plans to go public. According to its announcement, the firm will offer 24 million shares of Class A common stock as part of its IPO. Of this total, 9.6 million shares will be newly issued by the company, while the remaining 14.4 million shares will come from selling stockholders.
The firm disclosed the news on May 27, stating that the shares would be listed on the New York Stock Exchange under the CRCL ticker. Notably, this effort will be another major update from the company this month.
As noted earlier by CNF, Circle recently launched the Circle Payments Network (CPN) Mainnet. This blockchain-based network has been touted since its inception as a breakthrough in the world of cross-border payments. This shows its push for innovation alongside the plans to go public.
Right now, Circle expects the offering price to fall between $24 and $26 per share. The company could raise up to $624 million based on this range, setting its full valuation at approximately $6.7 billion. However, Circle will not earn any proceeds from shares sold by existing stockholders.
Circle has submitted its Form S-1 to the U.S. Securities and Exchange Commission as part of the process. The company has clarified that the offering is subject to market conditions and may not proceed as planned if conditions are unfavorable.
Major U.S. financial institutions, including JPMorgan, Goldman Sachs, and Citigroup, act as joint lead bookrunners. Several European banks, such as Barclays and Deutsche Bank Securities, are also involved. Co-managers for the IPO include firms like BNY Capital Markets, Oppenheimer, and Needham.
Circle also noted that the underwriters may purchase an additional 3.6 million shares within 30 days of the offering to cover over-allotments.
Circle Distances Self From Ripple
According to Circle’s CEO, Jeremy Allaire, becoming a publicly listed company aligns with the company’s goal of operating transparently and under U.S. corporate regulations. Allaire emphasized that public listing represents a significant step in Circle’s accountability journey.
It is worth noting that Circle has clarified that the IPO has no link to Ripple Labs. Earlier reports suggested Ripple Labs offered to acquire Circle. However, Circle’s current path shows there’s no relationship between those acquisition plans and its IPO listing.
In an earlier update, we covered that Circle is continuing its growth plans. It recently announced that Circle Paymaster now supports EOA wallets, letting users pay gas fees in USDC instead of native tokens.
Meanwhile, unlike Circle, Tether, USDC’s primary competitor with a larger market share, is not pursuing a public listing. Instead, CNF recently highlighted that Tether, the firm behind USDT, is now moving beyond crypto and exploring AI.
Circle’s stablecoin, USDC, currently has a market capitalization of $61.5 billion. In contrast, Tether’s USDT leads the stablecoin market with a valuation of $152.7 billion.
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