After Robinhood Markets Inc. HOOD revealed the acquisition of a Canadian cryptocurrency platform, WonderFi Technologies Inc. WONDF, prominent business owner and financier Kevin O’Leary revealed his enjoyment over the offer.
What Occurred: O’Leary, who was among the establishing investors of WonderFi, stated in an X post that he “could not be more fired up” by this statement.
According to the business declaration, the purchase rate of $0.26 per share represents a 41% premium over WonderFi’s closing rate on Might 12 and a 71% premium over its 30-day volume-weighted typical rate.
O’Leary mentioned that this offer is going to change cross-border trading. “We’re lastly linking crypto in between Canada and the U.S. right before stablecoin guidelines struck. FX trading will get a significant upgrade,” he stated.
He likewise included that the offer will result in “No more outrageous bank costs. You’ll have the ability to move cash in between your Canadian and U.S. accounts immediately and at a portion of the expense.”
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Why It Matters: WonderFi runs Canadian-regulated crypto exchanges Bitbuy and Coinsquare, which hold $1.49 billion in properties under custody.
The offer is expected to close in the latter half of 2025 pending approvals, and with no modifications in its management group.
Disclosure: 82% of retail CFD accounts lose cash
This acquisition will broaden Robinhood’s Canadian crypto existence, contributing to its existing Toronto head office and labor force of over 140.
The combined equity worth of the deal, on a totally watered down basis, stands at roughly $178 million. Advisors on the offer consist of J.P. Morgan Securities for Robinhood and Financial Innovation Partners for WonderFi.
Cost Action: Robinhood shares increased 8.95% on Tuesday, whereas Invesco QQQ Trust, Series 1 QQQ, tracking the Nasdaq 100 index, advanced 1.52% throughout the exact same session.
The stock has actually increased 58.65% on a year-to-date basis and 247.23% over a year. WonderFi shares, on the other hand, leapt 35.54% on Tuesday.
Benzinga Edge Stock Rankings reveals that HOOD had a more powerful rate pattern over the brief, medium, and long term. Its momentum ranking was strong at 98.62 th percentile, whereas its worth ranking was bad at 19.71 th percentile; the information of other metrics are readily available here.
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