Cyprus-based social trading platform eToro received $100m in funding yesterday from a consortium including financial services firm SBI Group, Globes reported.
The round was led by asset management firm China Minsheng Financial and also featured Korea Investment Partners and World Wide Invest. The deal valued the company at $800m, an unnamed source told Globes.
Founded in 2007, eToro has created a social trading and investing platform that allows users to follow other investors and copy their portfolio, which can consist of stock, commodities and currencies, including cryptocurrencies.
The company has grown its user base to more than six million according to its website, and the latest funding will be used to expand into new markets and to drive research and development into blockchain technology and digitisation of assets.
CommerzVentures, the strategic investment arm of financial services firm Commerzbank, invested $12m in eToro in 2015 to close its $39m series D round.
The initial $27m had been supplied by Ping An Ventures and SBT Venture Capital, respective subsidiaries of insurance provider Ping An and financial services firm Sberbank, as well as venture capital firm Spark Capital and BRM Group, the investment vehicle for the Barkat and Rakavy families.
The first close also included $10m in debt financing from Silicon Valley Bank. The latest round increased eToro’s total equity financing to $162m, and its shareholders also include Cubit Investments, Social Leverage, Venture51 and assorted angel investors.
Yoni Assia, chief executive of eToro, said: “We have seen strong customer demand for our approach and today’s announcement is an important milestone in marking the success we have had and signalling a new period of growth and expansion for our business.
“This investment round will help us to enter new markets, enabling us to bring our social approach to investing to more people around the world, and providing more people with safe and secure access to the markets.”