In an interview, the CEO, Yoni Assia revealed that eToro,
the prominent stock brokerage platform, is attracting interest from bankers and
investors regarding a potential public market listing. This announcement
follows the company’s decision to abandon its plans for going public through a
merger with a blank-check company.
Assia expressed eToro’s keen interest in entering the public
markets, stating: “I definitely see us becoming eventually a public
company.” While the timing of the listing remains under evaluation, Assia
emphasized that eToro has fostered strong relationships with exchanges,
particularly highlighting its ties with the Nasdaq stock exchange.
eToro, which boasts 35.5 million registered users and over 3
million funded accounts, reported revenues of $630 million in 2023, closely
aligning with its 2022 figures. Impressively, the company disclosed over $100
million in EBITDA for 2023, showcasing a robust margin for a retail brokerage
business.
Yoni Assia, CEO, eToro, Source: LinkedIn
The brokerage platform relies primarily on trading fees and
non-trading activities for its revenue generation. Additionally, eToro
disclosed its acquisition of Deep, a company specializing in content
automation, indicating its strategic focus on leveraging AI technologies in
content and marketing endeavors.
During his conversation with CNBC, Assia emphasized eToro’s commitment to integrating AI into its
product experience, particularly in investing and trading functionalities. He
noted the significance of AI-related stocks among eToro’s user base, citing the
growing interest in AI-driven innovations such as ChatGPT developed by
Microsoft-backed OpenAI.
‘We definitely are eyeing the public markets’: eToro CEO considers IPO after scrapped SPAC deal https://t.co/c5UFrZQpLQ
— CNBC (@CNBC) February 26, 2024
Securing Funding and Weathering Market Dynamics
Reflecting on eToro’s initial plans for a SPAC merger, Assia
acknowledged the valuable learnings garnered from the experience. Despite the
setback, eToro successfully secured $250 million in funding in March 2023,
supported by SoftBank Vision Fund 2, ION Investment Group, and Velvet Sea
Ventures.
The financial technology sector has faced challenges in
recent years, influenced by fluctuating interest rates and market dynamics.
However, Assia remains optimistic about the prospects for 2024, anticipating
improved market conditions amid potential interest rate adjustments by the US
Federal Reserve.
Throughout 2023, eToro prioritized product enhancements,
focusing on advanced trading experiences and technical analysis features for
its user base. Despite prevailing market conditions, eToro remains committed to
its mission of providing innovative solutions for retail investors.
In an interview, the CEO, Yoni Assia revealed that eToro,
the prominent stock brokerage platform, is attracting interest from bankers and
investors regarding a potential public market listing. This announcement
follows the company’s decision to abandon its plans for going public through a
merger with a blank-check company.
Assia expressed eToro’s keen interest in entering the public
markets, stating: “I definitely see us becoming eventually a public
company.” While the timing of the listing remains under evaluation, Assia
emphasized that eToro has fostered strong relationships with exchanges,
particularly highlighting its ties with the Nasdaq stock exchange.
eToro, which boasts 35.5 million registered users and over 3
million funded accounts, reported revenues of $630 million in 2023, closely
aligning with its 2022 figures. Impressively, the company disclosed over $100
million in EBITDA for 2023, showcasing a robust margin for a retail brokerage
business.
Yoni Assia, CEO, eToro, Source: LinkedIn
The brokerage platform relies primarily on trading fees and
non-trading activities for its revenue generation. Additionally, eToro
disclosed its acquisition of Deep, a company specializing in content
automation, indicating its strategic focus on leveraging AI technologies in
content and marketing endeavors.
During his conversation with CNBC, Assia emphasized eToro’s commitment to integrating AI into its
product experience, particularly in investing and trading functionalities. He
noted the significance of AI-related stocks among eToro’s user base, citing the
growing interest in AI-driven innovations such as ChatGPT developed by
Microsoft-backed OpenAI.
‘We definitely are eyeing the public markets’: eToro CEO considers IPO after scrapped SPAC deal https://t.co/c5UFrZQpLQ
— CNBC (@CNBC) February 26, 2024
Securing Funding and Weathering Market Dynamics
Reflecting on eToro’s initial plans for a SPAC merger, Assia
acknowledged the valuable learnings garnered from the experience. Despite the
setback, eToro successfully secured $250 million in funding in March 2023,
supported by SoftBank Vision Fund 2, ION Investment Group, and Velvet Sea
Ventures.
The financial technology sector has faced challenges in
recent years, influenced by fluctuating interest rates and market dynamics.
However, Assia remains optimistic about the prospects for 2024, anticipating
improved market conditions amid potential interest rate adjustments by the US
Federal Reserve.
Throughout 2023, eToro prioritized product enhancements,
focusing on advanced trading experiences and technical analysis features for
its user base. Despite prevailing market conditions, eToro remains committed to
its mission of providing innovative solutions for retail investors.
