Bithumb has reportedly already received several “letters of intent” to acquire its business. However, even if a buyer is found in the shortest possible time, the deal cannot be closed quickly due to the current problems of the exchange.
South Korean cryptocurrency exchange Bithumb is looking for a buyer for its business, the local edition of the Herald Corporation reports, citing sources in banking circles. Reportedly, the value of the exchange could range from 500 to 700 billion won ($ 430-604 million).
The audit company Samjong KPMG is looking for a buyer. Sources told the Herald Corporation that some foreign investors and local private equity funds have already expressed interest in buying Bithumb. However, the deal will not be able to close quickly due to the exchange’s current problems.
Recall that Bithumb and its CEO Lee Jong Hoon are involved in a fraud case initiated by the Seoul police. The company is accused of investment fraud with BXA tokens, which were positioned as Bithumb’s own tokens. Jeong Hoon is also accused of hiding property abroad.
In 2019, Bithumb planned to enter the US stock market through a reverse takeover of the investment firm Blockchain Industries, whose shares were already traded on the over-the-counter (OTC) market. When the deal fell through, BXA depreciated, and the participants in the token sale (about 300 investors) in total lost about $ 25 million.
Interestingly, in June 2020, Bithumb approached Samsung Securities with a request to act as an underwriter for an IPO, but this time in the South Korean market. If the exchange is indeed sold, these listing plans will be in question.
It is worth noting that Bithumb was previously listed for sale. In 2018, the Singapore-based BK Global Consortium tried to buy the exchange for 400 billion won (approximately $ 345 million). However, the deal fell through – the chairman of BK Kim Ben-gen was unable to raise the amount of money necessary for the purchase.