The IPO Buzz: On Watch for eToro Group’s (ETOR) NASDAQ Debut

All eyes on the Street are on the IPO of Israel’s eToro Group Ltd. (ETOR), a crypto-focused trading platform for retail investors, which is expected to make its NASDAQ debut today – Wednesday, May 14, 2025. eToro Group Ltd. (ETOR) upsized its IPO at pricing on Tuesday night, May 13, 2025,  to 11.92 million shares – up from 10.0 million shares in the prospectus – and priced the deal at $52.00  – $2.00 above the top of its $46.00-to-$50.00 range – to raise $620.0 million. At pricing, eToro Group Ltd. had a market cap of about $4.3 billion.

Goldman Sachs, Jefferies, UBS Investment Bank and Citigroup led the team of joint book-runners.

“I don’t expect it to start trading until around noon or so,” a savvy IPO pro said this morning, noting that he got a decent allocation – “but it’s not enough to change my life!”

Some IPO players said that the eToro allocations were so small that they appeared to have been handed out with an eye-dropper. The attitude, though, was relaxed. As one long-time IPO investor said, “the allo’s” could have been “zilch” – given the apparent demand.

BlackRock, Inc. –  the cornerstone investor – had indicated – on behalf of certain BlackRock funds and accounts – an interest in buying up to $100 million of eToro Group’s stock in the IPO at the IPO price, according to the prospectus. That indication of interest equates to about 20.8 percent of the deal. The cornerstone investor’s shares will not be subject to a lock-up agreement, the prospectus said.

eToro’s CEO Among the Selling Shareholders

Of the 11.92 million shares in its upsized IPO, eToro Group Ltd. offered 5.96 million Class A ordinary shares and the selling shareholders offered 5.96 million shares, according to the prospectus. Among the selling shareholders : eToro’s co-founder and CEO Yoni Assia and his brother, Ronen Assia, executive director of eToro Group Ltd., according to the prospectus – a fact included in a Bloomberg story (published Tuesday, May 13, 2025) that said eToro Group’s IPO was likely to price above range.

Other selling shareholders included affiliates of Spark Capital, BRM Group Ltd., Andalusian Private Capital and CM Equities SP, according to the prospectus – and as reported in the Bloomberg story yesterday. eToro Group Ltd. also reserved up to 500,000 shares to sell through a directed share program.

The company will not receive any proceeds from the sale of the selling shareholders’ stock.

Copy This

eToro gives its customers the opportunity to “trade directly, invest in a Smart Portfolio, or replicate the investment strategy of another investor via our patented CopyTrader product,” according to the prospectus.

On eToro’s platform, users can trade equities, commodities, currencies and crypto assets, traded as the underlying asset or a derivative, depending on the asset class and on the user’s location, the prospectus said.

“We are a global trading platform that serves retail investors. As of Dec. 31, 2024, we had about 3.5 million funded accounts for customers in 75 countries,” eToro said in the prospectus.

eToro Group Ltd. is profitable, according to financial statements in the prospectus: Net income of $192.38 million on total revenue and income of $12.64 billion for the 12 months that ended Dec. 31, 2024.

(For more information about these companies, please check the IPO Calendar and the individual IPO Profiles found on the IPOScoop.com  website.)

Note: Never trade on proposed symbols. They have been known to change and you might buy something on the OTC Bulletin Board.

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Disclosure: Nobody on the IPOScoop.com staff has a position in any stocks mentioned above, nor do they trade or invest in IPOs. The IPOScoop.com staff does not issue advice, recommendations or opinions.

Disclaimer: A SCOOP Rating (Wall Street Consensus of Opening-day Premiums) is a general consensus taken, at press time, from Wall Street and investment professionals concerning how well an IPO might perform when it starts trading. The SCOOP Rating does not reflect the opinions of anyone associated with IPOScoop.com. The SCOOP ratings should not be taken as investment advice. The rating merely reflects the opinion of the professionals at the time of publication and is subject to last-minute changes due to market conditions, changes in a specific offering and other factors, such as changes in the proposed offering terms and the  shifting of investor interest in the IPO. The information offered is taken from sources we believe to be reliable, but we cannot guarantee the accuracy.

 

Source: https://www.iposcoop.com/the-ipo-buzz-on-watch-for-etoro-groups-etor-nasdaq-debut/