Etoro, a retail industry platform known for its stocks and crypto services, has finally made its debut in the open market. The company priced the IPO at $52 per share, raising around $310 million, slightly above the expected $46-$50 range. This will result in a valuation of approximately $4.2 billion.
While existing investors offloaded an additional 6 million shares, around 6 million shares were sold in the offering. Inventory is traded on the Nasdaq under the ticker symbol etor.
Crypto Trading Platform Etoro hits Nasdaq with a $4.2 billion valuation after shelved SPAC deal
The IPO is one of the expected lists of high-tech and finance this year. This is because Etro was pulled back from previous public attempts via SPAC during the 2022 market slump.
This time, Etro is intervening between what appears to be a careful comeback for the IPO. The pipeline is being warmed up again after a long freeze driven by rising interest rates and market volatility. CoreWeave’s March debut helped thaw some of its cold. Still, uncertainty about tariffs has curtailed several companies, including Etoro, Klarna and StubHub.
Etro is currently taking that shot. The company hopes that the market will be more willing to bet on companies with a strong consumer base and growing crypto business. That number seems to confirm this. Etro’s net profit last year rose to $194 million from $15.3 million the previous year. Crypto revenues more than tripled to more than $12 million, with 25% of that transaction contribution coming from Crypto a year ago.
Etro, based in Israel, was founded with David Ring by the Yoni Assia brothers and Ronen Assia in 2007, has over 20 million registered users and can manually invest in other inventory currencies, stocks, commodities and more, while those with no time or experience can automatically copy other people’s transactions on the platform. Etoro currently boasts over 20 million traders on its platform.
Startups compete with platforms like Robinhood. Generate revenue through trading spreads, withdrawal fees and currency conversions. That pitch has long helped attract young crowds during the retail boom, simplicity and social investment.
This IPO round also received confident votes from major players. BlackRock said it is interested in securing $100 million worth of shares at the offer price.
Goldman Sachs, Jeffries and UBS led the underwriting team for the contract.
Meanwhile, the broader IPO market may be ready to further test your appetite. Hinge Health just launched its roadshow this week and is aiming to raise up to $437 million. Fintech startup Chime has filed documents with the SEC. Another player, Webull, was revealed in April through the SPAC merger.
As for Etro, this list has been made for years. Last year, CEO Yoni Assia told CNBC that being made public is still a goal and just a matter of timing. “We’re definitely looking at the open market,” he said. “We definitely see it will eventually become a public company.”
It’s now official.
🚀Want to share the story?
Submit your stories to TechStartUps.com in front of thousands of founders, investors, PE companies, tech executives, decision makers and tech leaders.
Please attract attention
Source link
