eToro will go public through merger

eToro has confirmed a public listing through a merger with a SPAC. The value of the merged company will be$ 10.4 billion.

eToro has confirmed its merger with SPAC FinTech Acquisition Corp V, which will allow the marketplace to debut on the Nasdaq.

The trading company's confirmation comes following media reports about its plans to go public several months ago.

The merged companies will operate undercalled eToro Group Ltd, and the estimated value will be about $10.4 billion. The official statement clarifies that $650 million will be raised through a private placement in public capital, and another $250 million – with cash from FinTech V. Private investors, including ION Investment, Softbank and Fidelity, will receive equity capital at $10 per share.

EToro's existing investors will own 91 percent of the combined company formed by the SPAC merger.

Companies for the acquisition of shares in a specialassignments (SPACs) have been gaining popularity in recent years as operating firms seek an easier route to the stock exchange instead of the traditional initial public offering (IPO) process.

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