Freetrade hits £8 million on first day of crowdfund

Home AI Freetrade hits £8 million on first day of crowdfund
Freetrade hits £8 million on first day of crowdfund

Commission-free stockbroking app Freetrade has raised £8 million on its first day of trading on Crowdcube

The company raised £5m in private mode from previous investors and those who had signed up for early access. And after less than four hours in public mode, the firm hit £8m with investors from 63 countries taking part in the round.

Since Freetrade’s last crowdfunding round in May 2020, total registered users on the platform have increased from approximately 150,000 to over 1 million, representing a nearly 600% increase in 18 months. Client assets now exceed £1bn, helped by the launch of new subscription accounts, including ISAs, Freetrade’s Plus membership and the Freetrade Pension.

Freetrade priced the current round – its seventh in total – at a valuation of £650 million. It comes just seven months after the company raised a Series B round of $69 million.

Freetrade is to use the funds to embark on European expansion, followed by a tilt at Australia and the US markets, where it will face up against Robinhood. The product roadmap for the Crowdcube pitch includes plans to rolls out a crypto investing service, fractional trading and securities lending.

The company is currently forecasting revenue for 2021 at £15 million and projected Ebitda losses of £26 million. It intends to hit £50 million in revenue for 2022 on a widening loss of £62 million, rising to £150 million in turnover for 2023 and a redcuced loss of £49 million

Join,
Black Tech Daily

Sign up to receive exclusive updates and tips about the latest products & opportunities!

We don’t spam! Read our privacy policy for more info.

Leave a Reply

Your email address will not be published.