Breaking: eToro Set For Public Listing With a $10.4 Billion SPAC Merger

By Prashant Jha
Published March 16, 2021 Updated March 16, 2021
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Breaking: eToro Set For Public Listing With a $10.4 Billion SPAC Merger

By Prashant Jha
Published March 16, 2021 Updated March 16, 2021

eToro, the stock and crypto trading app is all set to go public by merging with SPAC FinTech Acquisition Corp V. The trading platform is a Robinhood rival, and rumors about its public debut was rife in the recent past. The SPAC merger deal would include a $650 million common share private placement from leading investors including Softbank’s Vision Fund 2, Fidelity Management & Research Co LLC, and Wellington Management.

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The blank check firm chosen by eToro for its merger is backed by banking entrepreneur and chairman of Finch Acquisition Corp V Betsy Cohen. The trading platform brands itself as a social trading app and has 40 million customers from 140 countries.

Yoni Assia, CEO of eToro commented,

“Today marks a momentous milestone for eToro as we embark on our journey to become a publicly-traded company with Betsy Cohen and the team at FinTech V. I want to express my gratitude for the passion, hard work, drive, and determination of all of the eToro team members over the past 14 years who have helped make this a reality.”

The SPAC Frenzy Continues

Special Purpose Acquisition Company or a blank check company which is set for the sole purpose of a merger with a firm looking to go public. Over the past couple of years, the craze for these SPACs has sky-rocketed with billions of funds being put in by various firms in these blank-check firms to make their public debut.

The primary reason for upcoming firms choosing SPAC merger for public listing than traditional IPO is because this is much convenient and less time-consuming than the traditional process. However, its growing popularity has caught the eyes of the regulators as SEC’s corporate Finance Director called for better scrutiny around SPACs. The SEC executive talked about bringing structural change. Over $160 billion has flowed into hundreds of SPACs in the past one and a half years alone.

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Disclaimer
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
About Author
Prashant Jha
1004 Articles
An engineering graduate, Prashant focuses on UK and Indian markets. As a crypto-journalist, his interests lie in blockchain technology adoption across emerging economies.

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