eToro to Acquire Options Trading App Gatsby for $50M

eToro​, an Israeli social trading and multi-asset brokerage company, announced that it has inked a definitive agreement to acquire options trading app Gatsby for around $50 million in cash and common stock.

eToro filed for regulatory approval last December and has received approval from the Financial Industry Regulatory Authority (FINRA) to proceed with the deal.

Yoni Assia, CEO of eToro, said: "Scaling our US business is a strategic focus for eToro and through Gatsby we can provide US users with access to a safe and simple way to trade options, which we know are particularly attractive in challenging markets."

Once the acquisition is completed, Gatsby's Co-CEOs and co-founders Jeff Myers and Ryan Belanger-Saleh will become part of eToro alongside a host of other executives.

"We've always been huge fans of the social aspects of eToro. They've really been the pioneers of social investing," said Belanger-Saleh. "In terms of product and culture, it's a great fit and we're really excited about the next chapter in our shared future."

Last month eToro pulled the plug on its planned $10.4 billion Spac deal with blank cheque company FinTech Acquisition Corp V.

Announced last March, the deal was supposed to see eToro list on Nasdaq but conditions were not met by the 30 June deadline.

Assia, eToro's CEO said: "In the current market environment, we believe that it is in the best interests of eToro to terminate the merger agreement and continue, for now, to operate as a private company."