Tiger Brokers Secures $90 Million from Selling Convertible Notes

by Arnab Shome
  • The convertible debt instruments will mature in 2026.
Tiger Brokers Secures $90 Million from Selling Convertible Notes
Reuters

Nasdaq-listed UP Fintech (Nasdaq: TIGR), the operator of the global brokerage platform, Tiger Brokers, announced on Monday that it is raising fresh $90 million by selling convertible notes to institutional investors.

The convertible note, which will mature in 2026, was already subscribed to be purchased by the investors in a private placement. However, the public company did not specify the identity of its new investors yet.

Headquartered in China, Tiger Brokers is a major brokerage platform with services around the world. The broker is operational in Europe and the Asia-Pacific region, but its key markets remanded China, Singapore and New Zealand.

Brokerage Business Is Booming

The funding came at a time when the broker is witnessing a landslide demand for its services, especially after the Coronavirus -spurred market Volatility early last year. The Singapore unit of the broker, which was opened last year, reported a 215 percent increase in trading volume in the last quarter of 2020.

The overall business of Tiger Broker pivoted last year due to the demand surge. Last month, UP Fintech reported a year-over-year revenue jump of 135 percent to $47.2 million in the last quarter of 2020. In addition, the broker earned a net of $9.4 million in the quarter, recovering from the losses it incurred in the same quarter the previous year.

Though the company did not reveal its plans of how it will utilize the fresh proceeds, it is likely that it will use the funds in geographical and product line expansion.

The publicly-traded stock prices of the company slid heavily from the peak it achieved in February. Although, there are some signs of recovery in the prices.

Nasdaq-listed UP Fintech (Nasdaq: TIGR), the operator of the global brokerage platform, Tiger Brokers, announced on Monday that it is raising fresh $90 million by selling convertible notes to institutional investors.

The convertible note, which will mature in 2026, was already subscribed to be purchased by the investors in a private placement. However, the public company did not specify the identity of its new investors yet.

Headquartered in China, Tiger Brokers is a major brokerage platform with services around the world. The broker is operational in Europe and the Asia-Pacific region, but its key markets remanded China, Singapore and New Zealand.

Brokerage Business Is Booming

The funding came at a time when the broker is witnessing a landslide demand for its services, especially after the Coronavirus -spurred market Volatility early last year. The Singapore unit of the broker, which was opened last year, reported a 215 percent increase in trading volume in the last quarter of 2020.

The overall business of Tiger Broker pivoted last year due to the demand surge. Last month, UP Fintech reported a year-over-year revenue jump of 135 percent to $47.2 million in the last quarter of 2020. In addition, the broker earned a net of $9.4 million in the quarter, recovering from the losses it incurred in the same quarter the previous year.

Though the company did not reveal its plans of how it will utilize the fresh proceeds, it is likely that it will use the funds in geographical and product line expansion.

The publicly-traded stock prices of the company slid heavily from the peak it achieved in February. Although, there are some signs of recovery in the prices.

About the Author: Arnab Shome
Arnab Shome
  • 6306 Articles
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About the Author: Arnab Shome
Arnab is an electronics engineer-turned-financial editor. He entered the industry covering the cryptocurrency market for Finance Magnates and later expanded his reach to forex as well. He is passionate about the changing regulatory landscape on financial markets and keenly follows the disruptions in the industry with new-age technologies.
  • 6306 Articles
  • 80 Followers

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