Mike Novogratz[1]’s crypto-focused merchant bank, Galaxy Digital LP, is set to begin trading on Canada[2]’s TSX Venture Exchange on August 1, Bloomberg reports July 30.
The New-York headquartered firm will reportedly trade on the TSX Venture Exchange through a separate vehicle, Galaxy Digital Holdings Ltd., under the GLXY ticker.
For Galaxy’s founder, the former Goldman Sachs partner and crypto bull Mike Novogratz, the route to secure this week’s listing has been long-winded. Without the two years’ of audited financials required for a U.S.[3] initial public offering (IPO), the fledgling bank opted for a so-called “reverse takeover” route by merging with an already TSX-listed shell company.
The process has reportedly taken a “frustrating” — in Novogratz’s words — eight months, with Canadian regulators closely scrutinizing the firm and pushing back its trading debut from April to August. In a TV interview with BNN Bloomberg in Toronto, Novogratz said:
“If I knew what I know now, knew the crypto markets were going to swoon as much, and it was going to take so long, I might have stayed private for another year or so and then gone public. But I don’t think it’s a mistake."
This spring saw a protracted downtrend in the crypto markets, with Bitcoin (BTC) dipping below $6,000[4] after its industry record highs of $20,000[5] in December 2017. According to Bloomberg, Galaxy sold shares at $5 Canadian dollars (about $3.80 USD) apiece in a private placement in January, weeks after Bitcoin had peaked.
“Unfortunately, the Canadian capital markets aren’t roaring anymore," Novogratz is quoted as saying in the interview, adding that he has “faith that they will come back."
