eToro Reportedly Plans SPAC Merger for $10 Billion Public Listing
- The broker dismissed the report, calling it “market rumours.”
Israeli broker, eToro, which made its name with the social trading feature, is planning for a merger with a blank-check acquisition company to publicly list its shares on Nasdaq, according to local news agency, Calcalist.
In addition, the report outlined that the trading company, which recently revealed that the total number of traders jumped to 20 million, is looking for a listing valuation of $10 billion.
However, eToro dismissed the report, calling it a rumour. “We never comment on market rumours,” an eToro spokesperson told Finance Magnates.
eToro Skyrockets
Established in 2006 by two brothers, Yoni Assia and Ronen Assia, the Israeli company grew aggressively over the years. It ended the year 2020 with a revenue of $600 million as the trading volumes skyrocketed to $1.5 trillion.
However, the reports of eToro going public is not new as earlier, the same publication revealed the broker’s intentions for public listing with a $5 billion valuation. Then, the anonymous sources revealed that eToro is considering a SPAC merger to expedite the listing process.
Special Purpose Acquisition Companies or SPACs are shell companies with only the intention to merge with operating companies, helping them to go public bypassing the traditional and time-consuming initial public offering (IPO). SPACs became very popular in recent years due to their demand and some are even raising hundreds of millions of dollars.
However, it is not clear with which SPAC eToro is considering a merger.
Though eToro never confirmed any intentions of a public listing, the media reports have created a massive demand for its shares among private investors. Though the broker was officially valued at $800 million in its last Funding Round Funding Round Startups look to raise capital can participate in a funding round. These refers to the various rounds of funding that occur upon proof of concept, customer base growth, and the probability of success. While they are various types of funding rounds, the most commonly seen in startups include the following funding rounds: Seed, Series A Fundraising, Series B Fundraising, and Series C Fundraising. In order for a funding round to take place, a valuation must be performed by analysts for the business in question. Common factors that analysts use for valuations include market size, risk, management, and historical transparency. Types of Funding RoundsThe seed funding round officially kicks off a startup’s equity fundraising process. Used by startups to finance the beginning stages of its business, some proceeds of seed funding may go towards product development and market research.Common investors include angel investors, friends, family, and venture capital firms.Companies that emerge out of the seed funding round that has gone on to prove its ability to build a consumer base while generating a regularly occurring revenue can participate in Series A Fundraising.Businesses that wish to opt-in to a Series A funding round must also possess a strong business strategy to illustrate how it will continue to manifest into a successful business. Series B Fundraising are available for companies that are seeking to depart the development stage that has valuations between $30 million to $60 million.Companies that go on to make it to Series C funding rounds are considerably successful where the aim is to scale a company as efficiently and quickly as possible. Typical investors include investment banks, private equity firms, and hedge funds. For many investors, monitoring how a startup goes through funding rounds is a tactical strategy for securing high-probability investments. Startups look to raise capital can participate in a funding round. These refers to the various rounds of funding that occur upon proof of concept, customer base growth, and the probability of success. While they are various types of funding rounds, the most commonly seen in startups include the following funding rounds: Seed, Series A Fundraising, Series B Fundraising, and Series C Fundraising. In order for a funding round to take place, a valuation must be performed by analysts for the business in question. Common factors that analysts use for valuations include market size, risk, management, and historical transparency. Types of Funding RoundsThe seed funding round officially kicks off a startup’s equity fundraising process. Used by startups to finance the beginning stages of its business, some proceeds of seed funding may go towards product development and market research.Common investors include angel investors, friends, family, and venture capital firms.Companies that emerge out of the seed funding round that has gone on to prove its ability to build a consumer base while generating a regularly occurring revenue can participate in Series A Fundraising.Businesses that wish to opt-in to a Series A funding round must also possess a strong business strategy to illustrate how it will continue to manifest into a successful business. Series B Fundraising are available for companies that are seeking to depart the development stage that has valuations between $30 million to $60 million.Companies that go on to make it to Series C funding rounds are considerably successful where the aim is to scale a company as efficiently and quickly as possible. Typical investors include investment banks, private equity firms, and hedge funds. For many investors, monitoring how a startup goes through funding rounds is a tactical strategy for securing high-probability investments. Read this Term, a private sale of at least $50 million worth of eToro shares was reportedly sealed last year at a valuation of $2.5 billion.
Israeli broker, eToro, which made its name with the social trading feature, is planning for a merger with a blank-check acquisition company to publicly list its shares on Nasdaq, according to local news agency, Calcalist.
In addition, the report outlined that the trading company, which recently revealed that the total number of traders jumped to 20 million, is looking for a listing valuation of $10 billion.
However, eToro dismissed the report, calling it a rumour. “We never comment on market rumours,” an eToro spokesperson told Finance Magnates.
eToro Skyrockets
Established in 2006 by two brothers, Yoni Assia and Ronen Assia, the Israeli company grew aggressively over the years. It ended the year 2020 with a revenue of $600 million as the trading volumes skyrocketed to $1.5 trillion.
However, the reports of eToro going public is not new as earlier, the same publication revealed the broker’s intentions for public listing with a $5 billion valuation. Then, the anonymous sources revealed that eToro is considering a SPAC merger to expedite the listing process.
Special Purpose Acquisition Companies or SPACs are shell companies with only the intention to merge with operating companies, helping them to go public bypassing the traditional and time-consuming initial public offering (IPO). SPACs became very popular in recent years due to their demand and some are even raising hundreds of millions of dollars.
However, it is not clear with which SPAC eToro is considering a merger.
Though eToro never confirmed any intentions of a public listing, the media reports have created a massive demand for its shares among private investors. Though the broker was officially valued at $800 million in its last Funding Round Funding Round Startups look to raise capital can participate in a funding round. These refers to the various rounds of funding that occur upon proof of concept, customer base growth, and the probability of success. While they are various types of funding rounds, the most commonly seen in startups include the following funding rounds: Seed, Series A Fundraising, Series B Fundraising, and Series C Fundraising. In order for a funding round to take place, a valuation must be performed by analysts for the business in question. Common factors that analysts use for valuations include market size, risk, management, and historical transparency. Types of Funding RoundsThe seed funding round officially kicks off a startup’s equity fundraising process. Used by startups to finance the beginning stages of its business, some proceeds of seed funding may go towards product development and market research.Common investors include angel investors, friends, family, and venture capital firms.Companies that emerge out of the seed funding round that has gone on to prove its ability to build a consumer base while generating a regularly occurring revenue can participate in Series A Fundraising.Businesses that wish to opt-in to a Series A funding round must also possess a strong business strategy to illustrate how it will continue to manifest into a successful business. Series B Fundraising are available for companies that are seeking to depart the development stage that has valuations between $30 million to $60 million.Companies that go on to make it to Series C funding rounds are considerably successful where the aim is to scale a company as efficiently and quickly as possible. Typical investors include investment banks, private equity firms, and hedge funds. For many investors, monitoring how a startup goes through funding rounds is a tactical strategy for securing high-probability investments. Startups look to raise capital can participate in a funding round. These refers to the various rounds of funding that occur upon proof of concept, customer base growth, and the probability of success. While they are various types of funding rounds, the most commonly seen in startups include the following funding rounds: Seed, Series A Fundraising, Series B Fundraising, and Series C Fundraising. In order for a funding round to take place, a valuation must be performed by analysts for the business in question. Common factors that analysts use for valuations include market size, risk, management, and historical transparency. Types of Funding RoundsThe seed funding round officially kicks off a startup’s equity fundraising process. Used by startups to finance the beginning stages of its business, some proceeds of seed funding may go towards product development and market research.Common investors include angel investors, friends, family, and venture capital firms.Companies that emerge out of the seed funding round that has gone on to prove its ability to build a consumer base while generating a regularly occurring revenue can participate in Series A Fundraising.Businesses that wish to opt-in to a Series A funding round must also possess a strong business strategy to illustrate how it will continue to manifest into a successful business. Series B Fundraising are available for companies that are seeking to depart the development stage that has valuations between $30 million to $60 million.Companies that go on to make it to Series C funding rounds are considerably successful where the aim is to scale a company as efficiently and quickly as possible. Typical investors include investment banks, private equity firms, and hedge funds. For many investors, monitoring how a startup goes through funding rounds is a tactical strategy for securing high-probability investments. Read this Term, a private sale of at least $50 million worth of eToro shares was reportedly sealed last year at a valuation of $2.5 billion.