Gaming and metaverse giant Animoca Brands is reportedly considering returning to the public market after delisting from the Australian Securities Exchange (ASX) in March 2020.
This time, the company is targeting friendlier jurisdictions, specifically analyzing Hong Kong and the Middle East, according to The Information on June 26, citing the company’s co-founder, Yat Siu.
Animoca has been holding meetings with investment banks but has not chosen a location or hired an adviser, notes the report. The company is headquartered in Hong Kong, with offices and subsidiaries in several other countries.
Back in March 2020, the ASX delisted Animoca after expressing concerns about its compliance with listing rules, specifically those relating to investments in crypto and blockchain-related businesses, which were seen as inconsistent with the exchange’s financial and asset regulations at the time.
Animoca’s financing
Animoca is also seeking funding from other sources. Earlier this month, the company tokenized a Stradivarius violin from 1708 to use as collateral for a multimillion-dollar loan with Galaxy Digital.
Galaxy turned the violin into a non-fungible token (NFT) and will hold the NFT and the physical version until Animoca settles the loan. The violin once belonged to the Russian Empress Catherine the Great. The final amount of financing remains undisclosed.
Rollercoaster valuation
Animoca’s valuation had soared to nearly $6 billion by January 2022 on the back of booming crypto and gaming markets. The company is an investor in several Web3 firms and has acquired a range of businesses over the past few years, from gaming-related companies to digital marketing agencies.
In 2023, the company’s valuation reportedly fell to below $2 billion, influenced by wider industry challenges such as the collapse of FTX and the bankruptcy of several crypto lenders. The downturn led Animoca to reduce its fundraising targets for a metaverse fund from $2 billion to $800 million.
Cointelegraph reached out to Animoca Brands but did not receive an immediate response.
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