- eToro landed $250 million in funding at a $3.5 billion valuation
- The investment boosts the company’s total funding to $573 million.
- Today’s funding comes from an agreement made during eToro’s cancelled SPAC transaction.
eToro announced today it received $250 million in funding in a round that values the social trading and investment network at $3.5 billion. Investors in the round, which boosts eToro’s total funding to $573 million, include ION Group, SoftBank Vision Fund 2, Velvet Sea Ventures, and existing investors.
In 2021, eToro planned to go public via a merger with FinTech Acquisition Corp. V, a publicly-traded special purpose acquisition company (SPAC), in a deal worth $10 billion. That deal was cancelled in 2022 and, according to eToro’s update, today’s funding “stems from an Advance Investment Agreement which eToro entered into in February 2021 as part of its proposed SPAC transaction.”
Today’s investment will help eToro with its plans for growth over the next few years. “Our 2023 to 2025 strategy focuses on scaling our brokerage business in our key markets and increasing profitability via revenue growth and cost management,” said eToro Founder and CEO Yoni Assia.
Along with today’s funding announcement, eToro released highlights of its fiscal year 2022 performance. The company has 2.8 million funded accounts, up 17% from 2021. The company’s accountholders paid commissions totaling $631 million– a figure that is down from the company’s 2021 performance, but up 5% from 2020.
Adding to its busy 2022, eToro made two acquisitions, picking up options trading app Gatsby for $50 million and acquiring portfolio management tools provider Bullsheet for an undisclosed amount. The company increased its footprint for digital asset operations, receiving a Digital Asset Service Provider (DASP) registration in France, joining the registry of cryptoasset providers in Italy, and securing a New York BitLicense and Money Transmitter License.
As for long-term plans, “eToro will continue to focus on profitable growth while helping to drive progress towards a world where everyone can invest in a simple and transparent way,” said Assia.
Photo by Jared Schwitzke on Unsplash
The post eToro Lands $250 Million at $3.5 Billion Valuation appeared first on Finovate.|||
By: Julie Muhn (@julieschicktanz)
Title: eToro Lands $250 Million at $3.5 Billion Valuation
Sourced From: finovate.com/etoro-lands-250-million-at-3-5-billion-valuation/
Published Date: Tue, 21 Mar 2023 20:22:08 +0000