eToro’s U.S. IPO Raises $620 Million,Exceeding Expectations
eToro,a popular trading platform,is set to raise nearly $620 million in its U.S. Initial Public offering (IPO). The company priced its shares at $52 each, above the initial range of $46 to $50. This move comes ahead of its May 14 debut on the Nasdaq.
According to a May 13 press release, eToro and its shareholders will sell 11.92 million shares. This offering values the company at about $4.3 billion. BlackRock, a major fund manager, has shown interest in purchasing up to $100 million worth of shares.
eToro’s IPO marks a notable milestone for the Israel-based firm. It had previously paused IPO plans in April due to market uncertainty. The company also attempted a $10.4 billion Special Purpose Acquisition Company (SPAC) deal in 2022,which didn’t materialize.
Founded in 2007, eToro offers stock and crypto trading services. In 2024, it reported a net income of $192 million, a significant increase from $15.3 million the previous year. However, eToro agreed to limit U.S. crypto trading to Bitcoin, Bitcoin Cash, and Ethereum as part of a settlement with the Securities and Exchange Commission.
Goldman Sachs, Jefferies, UBS, and Citigroup are leading the IPO. Shares are expected to start trading today on the Nasdaq Global Select Market under the ticker ETOR. This IPO success reflects growing confidence in capital markets, especially for fintech firms.
