Robinhood rival EToro raises almost $620M in US IPO

by Matthew Griffin and Anthony Hughes

EToro Group Ltd. and some of its shareholders raised nearly $620 million in an upsized US initial public offering priced above the marketed range.

The trading and investment platform and a group of its investors sold 11.92 million shares at $52 each, according to a statement Tuesday. Funds and accounts managed by BlackRock Inc. had signaled interest in buying as much as $100 million worth of EToro shares at the IPO price, according to an earlier filing.

The price gives EToro a market value of about $4.3 billion, based on the outstanding shares listed in the filing. The company has a fully diluted value of nearly $5 billion, including employee stock options and restricted share units. 

The Israel-based company had marketed 10 million shares for $46 to $50 each. EToro was likely to price the shares above the marketed range, and had received demand for multiple times the number of shares available, Bloomberg News has reported.

The pricing marks a striking rebound after EToro put its listing plans on pause amid tariff-related stock volatility. It was among the companies that delayed IPO plans after President Donald Trump’s April 2 tariff announcements to resume preparations.

EToro offered 5.96 million shares, and affiliates of Spark Capital, BRM Group Ltd., Andalusian Private Capital and CM Equities SP as well as executives including Co-Founder and Chief Executive Officer Yoni Assia and his brother, Executive Director Ronen Assia, offered another 5.96 million shares, the statement showed. The company has reserved up to 500,000 shares to sell through a directed share program.

Founded in 2007, EToro offers a platform where users can trade and follow top investors in assets including stocks and crypto. The company previously tried to go public through a blank-check company merger at a $10.4 billion valuation.

The company reported a net contribution of $787 million in 2024, with net income of $192 million, the IPO filing showed. That compares with a net contribution of $557 million and net income of $15.3 million the prior year.

EToro completed a funding round in 2023 that valued it at $3.5 billion, with participation from backers including ION Group and SoftBank Vision Fund 2.

Sanctions currently prevent some shares from being distributed to SBT Venture Fund I, which is affiliated with Russia’s Sberbank PJSC, according to the filing. The fund, which beneficially owns more than 6% of the Class A shares, is restricted from exercising voting rights, transferring shares or receiving new shares, the filing shows.

The IPO is being led by Goldman Sachs Group Inc., Jefferies Financial Group Inc., UBS Group AG and Citigroup Inc. EToro shares are expected to trade on the Nasdaq Global Select Market under the symbol ETOR.

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