Ionic Digital has submitted paperwork to list its shares on the Nasdaq through a direct listing, the company said on Monday. The firm was created in January 2024 to take ownership of the cryptocurrency mining assets formerly held by Celsius Mining, a unit of Celsius that secured U.S. bankruptcy court approval for a restructuring in November 2023.
Under the direct listing route Ionic intends to place existing shares on an exchange without conducting an underwritten offering. That structure means no new shares will be issued in the process and allows existing insiders and registered holders to sell shares immediately upon listing. In connection with the registration, Ionic’s registered stockholders have indicated plans to sell up to 10.8 million shares of common stock in the listing.
As part of Celsius’ reorganization, the new company issued approximately 37 million Class A shares to creditors of Celsius, thereby converting those creditors into shareholders of Ionic Digital. Celsius, which is based in New Jersey, initially filed for Chapter 11 protection in July 2022, shortly after freezing customer accounts to stop withdrawals. The Celsius bankruptcy was one of several high-profile failures among crypto lenders that followed the rapid expansion of the sector during the pandemic-era growth period.
Last week Ionic secured $400 million in a funding round that valued the company at $2 billion on a pre-money basis. The financing was led by new investors Attestor, Oaktree Capital Management and Sachem Head Capital Management. The company announced plans to list on Nasdaq under the trading symbol "IOND."
J.P. Morgan, Jefferies and BTIG are serving as financial advisors to Ionic Digital for the planned listing.
Background: Ionic Digital was formed in January 2024 to acquire the cryptocurrency mining assets of Celsius Mining. The acquisition and subsequent issuance of shares to creditors are elements of Celsius’ court-approved restructuring.
Listing mechanics: The company is pursuing a direct listing, which does not create new shares and provides immediate liquidity for insiders and registered holders. Ionic has registered up to 10.8 million shares that may be sold in the listing.