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Animoca puts Currenc merger on ice, delaying its Nasdaq debut
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Animoca Brands, a prominent Hong Kong-based investment and gaming firm, has suspended its reverse merger with Nasdaq-listed Currenc Group, delaying its anticipated debut on the major U.S. exchange. The company announced the decision on Tuesday, stating it was made mutually with Currenc following a review of current market conditions and projected timelines for the deal's closing.
The proposed transaction would have seen Currenc acquire Animoca, with Animoca shareholders set to own 95% of the combined, publicly traded entity on the Nasdaq. This structure is a common path for companies seeking a public listing without a traditional IPO. The suspension marks a pause in Animoca's direct route to re-entering public markets.
Animoca Brands is a key player in the blockchain and gaming ecosystem, with a high-profile portfolio that includes The Sandbox metaverse, Moca Network, and the Open Campus decentralized education protocol. The firm was previously listed on the Australian Securities Exchange but was delisted in March 2020, making this Nasdaq pursuit a significant step in its corporate journey.
Executive Chairman Yat Siu emphasized the company's ongoing commitment, stating, "We will continue to pursue optimal routes to a public listing" while advancing comprehensive audit processes. He framed the suspension as part of navigating rigorous compliance standards required for a major exchange. The company explicitly noted that discussions with Currenc could resume if market conditions permit.
The delay reflects the volatile nature of the current financial markets, which can significantly impact the timing and viability of complex cross-border mergers. For Animoca, a public listing is crucial for enhancing liquidity, raising capital, and increasing its visibility within the global investment community. The move follows recent strategic activities, including a notable investment in Ava Labs to expand Avalanche blockchain adoption.
Looking forward, the focus now shifts to Animoca's alternative strategies for achieving a public listing. The company's core business remains active, as evidenced by its ongoing investments and project development. The suspension with Currenc is not a cancellation of listing ambitions but rather a strategic recalibration in response to external market factors.
