World's largest Bitcoin ATM provider reveals it's going public
(Kitco News) - Bitcoin Depot, the world’s largest Bitcoin ATM provider, according to data from Coin ATM Radar, has revealed that it intends to go public through a merger deal with a special-purpose acquisition company (SPAC).
According to Thursday's press release, the Atlanta-based ATM provider has reached a definitive agreement to merge with SPAC GSR II Meteora (GSRM) in an $885 million deal that will allow the firm to become a listed company.
Once the deal is finalized, the company’s official name will be Bitcoin Depot Inc. and it will trade on the NASDAQ under the ticker symbol “BTM.”
The leadership team at Bitcoin Depot and the board of directors of GSRM have unanimously approved the merger, and it is expected to close by the first quarter of 2023. The nature of the business combination requires that it be subject to regulatory and stakeholder approvals, as well as other standard closing conditions.
The newly formed company is estimated to have a post-transaction enterprise value of $755 million along with an “estimated equity value of $885 million from the contribution of up to $170 million in cash proceeds from the transaction,” the press release said.
“The net proceeds raised from the transaction will consist of up to $321 million of cash held in GSRM’s trust account and will be used to support Bitcoin Depot’s working capital, complete acquisitions and scale its platform and suite of products.”
The company was originally founded in 2016 and is currently the largest crypto ATM provider in North America, with over 7,000 kiosk locations.
This new partnership will help Bitcoin Depot expand its reach “so as many people as possible can access cryptocurrency to control their own money and conduct easier and simpler financial transactions,” according to its CEO and founder Brandon Mintz.
“We’re excited about numerous growth opportunities and believe a public listing enhances our ability to scale and evolve to achieve our goal of providing a convenient and secure way to purchase cryptocurrency.”
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Despite the weakness seen across the cryptocurrency market over the past ten months, the company has managed to continue growing, according to Mintz, who said, “We’re actually doing fantastic right now regardless of the market.” So well that Mintz signaled that Bitcoin Depot intends to pursue acquisitions once going public is complete.
On GSRM’s side of things, Co-CEO Gus Garcia commented that he is looking forward to supporting Bitcoin Depot’s “mission to connect those who prefer to use cash to the broader, digital financial system.”
“With its significant BTM footprint, key strategic relationships, and feature-rich mobile app, we believe Bitcoin Depot is well positioned to take advantage of the highly fragmented BTM market both domestically and overseas,” Garcia said.