Circle’s IPO may not proceed as the USDC issuer is reportedly in talks with Coinbase and Ripple to sell its business for at least $5 billion, according to sources cited by Fortune.
The discussions are taking place as the company prepares to enter the stock market.
Earlier in May, media outlets reported Ripple’s attempt to acquire Circle for $4–5 billion. Circle rejected the offer, citing an “insufficient amount.” At that time, USDC issuer representatives declined to “comment on market rumors.”
Reports indicated that the firm would continue working towards the planned IPO. This move was part of previously announced plans to achieve public company status. Back in April, the procedure was postponed indefinitely due to market uncertainties.
Coinbase was a partner with Circle in the Center consortium, responsible for issuing USDC. In August 2023, the consortium was dissolved after the platform acquired a minority stake in its partner, taking on the role of sole issuer of the “stablecoin.”
Earlier, Borderless CEO Kevin Lehtiniitty warned Circle about the risks of weakening its position due to going public.