Online trading platform eToro has confirmed its filing for an Initial Public Offering (IPO) in the US with relevant regulatory authorities.
eToro filed an F-1 registration statement for the IPO to be conducted at the New York Stock Exchange. A month prior, the company had submitted filings to the Securities and Exchange Commission (SEC) stating its intention to move its listing in New York.
The social trading broker is reportedly aiming for a valuation of $5bn, however, it did not indicate any more details regarding its listing, such as a planned valuation goal or share prices.
Goldman Sachs worked alongside eToro as its lead manager of the IPO filing and will only be confirmed once the SEC has completed its review process, taking matters such as market conditions into consideration.
After halting its first plans for a public listing back in 2022, pulling out of a special purpose acquisition company (SPAC) deal due to various economic market conditions after it had accrued a valuation of over £10.5bn.
Despite seeing this valuation fall, it raised $250m through a funding round led by backers such as SoftBank and Ion Group. This funding round saw eToro’s valuation reach £3.5bn.
eToro may have got ahead of other financial companies this year intending to launch an IPO in the US this year.
Klarna confirmed late last year that it was forgoing plans for an IPO listing in the US, in favour of its European neighbour the UK.
Under the Securities Act 1933, the same act eToro filed its listing under, Klarna did not disclose the amount of shares available to potential outside investors if it officially listed on a US stock exchange, which is becoming more likely to be the New York Stock Exchange.
Despite the wave of IPO interest in the US market, UK digital bank Monzo is reportedly mulling over the idea of crossing the Atlantic for its potential IPO.
Last January, reports surfaced that Monzo CEO MS Anil was in favour of listing in the US, whilst others on the Monzo preferred to launch an IPO on the London Stock Exchange to remain at home.
Whilst it remains to be seen whether Monzo lists in the US or UK, 2025 appears to be a fiercely competitive year in the public investment space.
