The giant video screen on the Nasdaq stock exchange in Times Square in New York on 17 May 2019. Shutterstock
Stockholm-based crypto exchange Safello announced it has raised $1.3 million (11 million SEK) through the issuing of new shares to cover the cost for a forthcoming Initial Public Offering (IPO). The 18 December press release also revealed the firm was planning to list on Nasdaq’s First North Growth Market in the first half of 2021.
Founded in 2013 as a startup, Safello is registered as a financial institution with the Swedish FSA and enables transactions with Bitcoin, Ethereum, and XRP. According to Frank Schuil, co-founder and CEO of Safello, the main motivation for the IPO is that it will boost the Swedish company’s growth opportunities with the intention to expand operations abroad.
The investment round was led by Digital Currency Group, and saw participation from venture capital companies Northzone, White Star Capital, and Techstars.
Barry Silbert, founder and CEO of Digital Currency Group — one of the first investors in Safello — expressed excitement for the Swedish company’s plan to go public:
“We first invested in Safello in 2014 and have been impressed with the company’s growth and perseverance throughout the years. We are excited to support Safello in the next phase of development and their desire to go public.”
To help with the upcoming public listing, Safello has appointed Corpura Fondkommission as financial advisor, and law companies Schjødt and Kassai Law as legal advisers.
Carl Kindal, a partner at Corpura Fondkommission, shed light on the fact that the issue of shares was oversubscribed by almost 500% to 48 million SEK. According to him, this proves a significant interest not only in Safello but in the whole crypto segment.