eToro Group(NASDAQ: ETOR) has agreed to acquire TradeZero, a U.S.-focused online brokerage catering to active traders, in a deal valued at up to $231 million.
The deal, which includes cash and up to 2.5 million newly issued Class A common shares, is expected to close in the first half of 2027 pending regulatory approvals, according to an announcement on Tuesday.
TradeZero, founded in 2015, generated about $80 million in revenue with 81% gross margins over the trailing 12 months ended June 30, and the transaction is projected to be accretive to adjusted earnings per share in its first full year.
"Today's announcement is an important step in building our U.S. business," eToro CEO Yoni Assia said. "TradeZero has built a successful franchise, with differentiated technology, broker-dealer infrastructure and a highly engaged trading community. This combination gives us a faster path to launching new products for U.S. customers and strengthens our offering."
Of note, eToro has become the most recent Bitlicense recipient to roll out crypto trading in New York. The firm, which was licensed by the New York Department of Financial Services in 2023, held off expanding in the state for several years but is now focused on U.S. growth, Head of eToro U.S. Andrew McCormick previously told The Block.
