Headline: Cango scrambles for funding as NYSE delisting clock starts; pivots from bitcoin mining to AI compute
Cango (CANG) is racing to shore up its balance sheet after the New York Stock Exchange issued a compliance notice: the company’s 30-day average share price fell below the NYSE’s $1 minimum, triggering a six‑month cure period that began with the March 10 flag. If Cango doesn’t push its share price back above $1 by the end of that window, the exchange could start suspension and delisting proceedings.
To buy time and fund a strategic pivot, the bitcoin miner-turned-compute hopeful announced fresh financing. Cango entered a $10 million convertible note agreement with Hong Kong–listed DL Holdings and issued warrants exercisable at $2.70 per share. The deal includes a non‑binding cooperation framework that could lead to further joint investments in crypto mining and AI infrastructure. Cango says the note proceeds will support upstream acquisitions and expansion of its computing infrastructure as the company expands beyond bitcoin mining.
This financing follows a $65 million strategic round closed March 31 — settled in USDT and led by entities controlled by chairman Xin Jin and director Chang‑Wei Chiu — under which Cango issued more than 49 million Class A shares. Management frames the moves as efforts to stabilize the company financially while accelerating a longer‑term shift from volatile mining revenue toward energy and AI compute services. That strategy mirrors an industry trend of miners repurposing their power capacity and facilities to run higher‑margin, data‑intensive AI workloads.
The urgency is clear in the stock’s performance: Cango shares are down more than 70% year‑to‑date, trading near $0.39 after beginning January above $1.40. The company has also been selling portions of its bitcoin holdings to pay down debt and fund its AI makeover while it monitors market conditions and evaluates options to regain NYSE compliance.
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