eToro, an Israeli online trading platform, has successfully completed its initial public offering (IPO) on Nasdaq, raising $620 million.
Details of eToro's IPO
On May 11, eToro announced that it and its shareholders sold approximately 11.92 million shares at $52 each, exceeding the initial plan to raise $500 million based on 10 million shares priced between $46 and $50. The offering includes about 5.9 million shares sold by eToro itself and an equal number from existing shareholders. The IPO is set to remain open until at least May 15.
Market Competition
eToro enters the U.S. market as a direct competitor to Robinhood Markets Inc., whose stock has surged 67% year-to-date. The company initially filed for its IPO confidentially with the U.S. Securities and Exchange Commission (SEC) in January before going public with its plans on March 24.
Future of Public Offerings in the Financial Sector
eToro's debut comes amid a resurgence of interest in public offerings across the fintech and crypto sectors. Other companies like Chime have also filed for IPO, potentially valued at up to $1 billion. Meanwhile, Kraken, one of the largest crypto exchanges, is reportedly preparing for its IPO later this year.
eToro's entry into Nasdaq highlights a renewed interest in IPOs in the financial sector, with expectations that other cryptocurrency companies may follow suit.
