By Echo Wang
NEW YORK, Apr 13 (Reuters) – The Nasdaq on Tuesday set a benchmark price of $ 250 per share for Coinbase Global Inc, projecting a value for the largest U.S. cryptocurrency exchange of $ 49.19 billion ahead of its historic debut. Wednesday’s stock market.
The reference price is not an offer price for investors to buy shares, but rather a reference point for when the shares go public on Wednesday.
Coinbase shares will begin trading under the symbol “COIN.” The public opening price will be determined by the buy and sell orders collected by Nasdaq from stock brokers.
The reference price is below the volume weighted average price of $ 343.58 at which Coinbase’s shares were trading privately in the first quarter of this year.
If the shares trade at or above the reference price, Coinbase would be valued at more than six times the $ 8 billion capitalization from its last private fundraising round in 2018.
By comparison, the stock market value of the New York Stock Exchange’s parent company, the Intercontinental Exchange, is around $ 66 billion.
Coinbase has chosen to go public through a direct listing rather than a traditional initial public offering (IPO). This means that the company will not raise any money and that current investors are not subject to restrictions on when they can divest their shares after the market debut.
The option to go public is much less common than the traditional IPO, but it is gaining traction. Previous high-profile direct exits include Spotify Technology SA in 2018, Slack Technologies Inc in 2019, and Roblox Corp in 2021.
Founded in 2012, Coinbase is one of the best-known cryptocurrency platforms in the world, with more than 56 million users who trade various virtual currencies, such as bitcoin, ethereum, and XRP.
(Report by Echo Wang; Edited in Spanish by Javier López de Lérida)