Shares rose 14% to a session high
• Shares rose 14% to a session high
Shares of Robinhood (NASDAQ: HOOD) soared on Monday after reports that cryptocurrency exchange FTX was considering acquiring the trading app, surfaced.
Shares rose 14% to a session high and trading was briefly halted after a report that FTX was discussing a takeover plan internally, but no offer has been made to Robinhood, Bloomberg News reported.
“We are excited about Robinhood’s business prospects and potential ways we could partner with them,” Bankman-Fried said Monday in an emailed statement, reported Bloomberg. “That being said, there are no active M&A conversations with Robinhood.”
Last month, CEO of crypto exchange platform FTX, took a 7.6% stake in the retail investing app. Samuel Bankman-Fried said he now owns more than 56 million shares, worth over $648 million, “in the belief that the shares represent an attractive investment,” making him the third-largest shareholder in Robinhood.
While FTX, which was founded in 2019, was valued at $32 billion in a February funding round, and Bankman-Fried himself is worth $21 billion, Robinhood’s market value stands around $7.5 billion.