IPO activities recovering from the softness experienced in the early weeks of the year have gained the power of the healthcare and technology industries. Circle Internet Group is the latest high-tech company that file documents with the Securities and Exchange Commission for initial public offerings. It is a financial technology company that focuses primarily on building digital currency infrastructures through Stablecoin.
The company has applied to list the stocks on the New York Stock Exchange under the symbol CRCL. Meanwhile, the exact number of stocks offered and the offer price have not yet been revealed. The offering’s underwriter team is led by JPMorgan and Citigroup.
Revenue
The company said it plans to use revenue from offerings to invest in new products and capabilities. Investing in expanding awareness, use and distribution of its products, and strategic acquisition. The remaining revenue will be used for working capital and other general corporate purposes.
In accordance with the documents filed with the Securities and Exchange Commission, Circle Internet has reported mixed results for 2024. Revenues and reserves from continuing operations increased to $1.68 billion from $1.45 billion the previous year. Meanwhile, full-year net income fell to $155.7 million or $0.30 from $267.6 million or $0.78 per share in 2021. Adjusted EBITDA was $285 million in 2024, up from $395 million in 2023, but higher than $96 million in 2022.
company
Circle Internet was founded in 2013 by Jeremy Allaire and Patrick Sean Neville. It operates as a peer-to-peer payments technology company specializing in managing Stablecoin USDC, a cryptocurrency locked in the US dollar. As of December 31, 2024, USDC is estimated to be used in the chain for around $20.0 trillion.
A few years ago, Circle Internet entered the open market with a merger agreement with a special purpose acquisition company, but the combination of businesses later ended with each other, with the company recording approximately $44 million in termination costs.
A unique business model focused on disrupting payment space through products distinguishes it from Circle Internet and other Fintech companies. However, the uncertainty of crypto-related regulations and widening competition in the region raises concerns about the outlook.
