UK Robinhood rival Freetrade snapped up by trading firm at 29% valuation discount

Published On Jan 16, 2025, 7:34 AM

Freetrade, a UK-based trading app, has been acquired by IG Group for £160 million ($195 million), representing a 29% discount to its previous valuation. The acquisition suggests a trend towards consolidation in the wealth technology sector, which has faced challenges in recent economic conditions. Despite its popularity with younger, inexperienced traders, Freetrade's valuation has dropped significantly from £650 million to £225 million due to worsening macroeconomic factors. The company plans to continue operating under its existing brand post-acquisition.