The Webull logo is displayed on a smartphone screen.
Rafael Henrique | SOPA images | LightRocket | Getty Images
Webull plans to go public by merging with a special purpose acquisition company in a deal that values the digital investment platform at $7.3 billion.
The New York-based online brokerage firm will merge with SK Growth Opportunities Corporation in the second half of the year, subject to regulatory and shareholder approval. The combined company will be listed on the Nasdaq under a new ticker as Webull.
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SK Growth Opportunities (SKGR), YTD
Special purpose acquisition companies (SPACs) raise capital through an initial public offering and use the money to merge with a private company and take it public, usually within two years.
After a drought over the past two years, the space is showing signs of recovery as the bull market continues and interest rates begin to stabilize.
Webull launched its trading platform in the US in 2018 and saw a huge boost during the Covid-19 pandemic as many Americans became traders for the first time during lockdowns. The company had notional equity capital of $370 billion in 2023 and 430 million options contracts traded on its platform.
Compared to the competitor Robin HoodWebull’s customers tend to be more active and sophisticated investors who use analytical tools like charts to decide when to enter and exit their trades, CEO Anthony Denier said in a CNBC interview in 2021 .
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2024-02-28 19:40:51
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