Phoenix Group Makes Crypto History with ADX IPO

Phoenix Group, a cryptocurrency mining company, has made its initial public offering (IPO) on the Abu Dhabi Securities Exchange (ADX), becoming one of the first industry firms in the Middle East to do so. The opening price of The Phoenix Group stock on December 5 was 2.25 dirhams ($0.6), according to data from the ADX exchange.

According to the Phoenix IPO prospectus, the price has increased by as much as 50% since its initial public offering (IPO) price of 1.50 dirhams ($0.41).

A few weeks after Phoenix Group’s initial public offering (IPO) was effectively completed on November 18 with a 33-fold oversubscription, the sale of 907,323,529 shares for approximately 1.3 billion dirhams ($371 million) was completed.

The retail investor portion of the initial public offering was 180 times oversubscribed, whereas the offering was 22 times oversubscribed by professional investors. The cryptocurrency miner intends to finance its future expansion and provide investors with positive returns with the IPO proceeds.

The four pillars upon which Phoenix Group’s ambitions rest, according to CEO and co-founder Bijan Alizadeh, are “innovation in Bitcoin mining, renewable energy ventures, advanced manufacturing capabilities, and strategic acquisitions.”

Alizadeh and Munaf Ali founded Phoenix, a preeminent business in the Middle East’s blockchain industry, in 2015. Phoenix inked an agreement in August 2023, in the presence of Abu Dhabi Stock Exchange chairman Hisham Malak and Omani Minister of Transport Saeed Al Maawali, to construct a $300 million cryptocurrency mining farm in Oman.

Phoenix’s commitment to sustainability in cryptocurrency mining, or the use of renewable energy sources for cryptocurrency mining, is a central tenet of its mission. In September 2023, Alizadeh stated that approximately 95% of Phoenix’s electricity is derived from renewable sources, predominantly hydropower.

International Holding Company, an Abu Dhabi conglomerate, acquired a 10% stake in Phoenix Group in October 2023 via its subsidiary, International Tech Group.