Phoenix Group CEO Acquires 20 Million Shares as Firm Weighs U.S. Listing

Phoenix Group (ADX: PHX) CEO and Co-Founder Munaf Ali has significantly increased his ownership position in the Bitcoin (BTC) mining firm, purchasing more than 20 million ordinary shares through open market transactions since November 2024, the company announced today (Monday).

The substantial share acquisition comes as Phoenix Group continues to evaluate a potential U.S. stock listing while expanding its North American Bitcoin mining operations.

Phoenix Group CEO Acquires 20 Million Shares

Phoenix Group is the first publicly listed cryptocurrency mining company on the Abu Dhabi stock exchange, having gone public in late 2023. While the company's stock initially saw gains, it has been on a downward trend throughout 2024, despite rising Bitcoin prices. During Monday’s trading session, the stock dropped below AED 1 ($0.26), officially reaching penny stock status.

The share buyback by the CEO and Co-Founder could potentially serve not only as a means of reducing the number of shares in circulation but also as an attempt to boost the stock price. However, since the buyback began in November, the stock's value has still declined by approximately 25% to its current price levels.

“As we enter a year of high-impact expansion, I firmly believe in Phoenix Group's long-term potential,” Ali said in a statement. “Increasing my holding reflects my belief in our differentiated strategy, high-quality operations, and future growth.”

Last month, the company published its first report following its $370 million IPO success, revealing a 50% increase in net profit despite a significant revenue decline. Revenue shrank threefold to $288 million, while net profit stood at $221 million.

Bitcoin Miner Eyes Wall Street

A potential solution to the declining valuation could be a debut on the U.S. stock exchange. Wall Street is currently home to the largest publicly traded cryptocurrency mining companies, including MARA, which remains a popular indirect way for many investors to gain exposure to Bitcoin prices on regulated markets.

“Phoenix Group continues to evaluate the potential for a future U.S. listing, aligning with its ongoing expansion into the North American bitcoin mining sector,” the company commented in the official statement.

The difference is clearly visible—NYSE is the largest stock exchange in the world, with a total market capitalization of $26 trillion. ADX is one of the largest exchanges in the Middle East, but its market cap stands at $850 billion, which is 30 times smaller. The number of listed companies is also significantly lower.

“Phoenix Group is at the forefront of digital asset mining, and as a Board we remain fully focused on delivering growth and sustainable value creation for our shareholders,” concluded the CEO.

Phoenix Group's U.S. expansion strategy aligns with its broader goals of scaling high-margin self-mining operations while geographically diversifying its asset base. The Abu Dhabi-based technology conglomerate currently operates mining facilities in the United States, Canada, Oman, Ethiopia, and the UAE, with a total mining capacity of 451 megawatts.