Fintech firm Circle to go public in US$4.5 billion blank-check deal

Boston-based global fintech firm Circle announced on Thursday that it will be publicly listed on the stock exchange for the first time. This new feat is made possible by a merger deal with a blank-check company. 

This merger deal pulls Circle up to a US$4.5bn valuation. According to a spokesperson for Circle, merging with Concord Acquisition Corp will see both firms or the resulting single entity reaping a US$691 million profit.

Blank cheque companies, also known as Special Purpose Acquisition Companies (SPACs), are shell corporations that are listed on the stock exchange but have no restricted business plan. They acquire private companies with funds raised via IPOs, making the acquired firm a publicly traded firm. 

Marshall Wace, Fidelity Management & Research Co, and funds under the advisement of ARK Investment Management have partnered in a US$415m PIPE (private investment in public equity) financing, Circle said.

Once the deal is finalized, Circle’s symbol “CRCL.” will go live on the New York Stock Exchange, making it a publicly-traded company.