Known for its famous free stock-trading app, Robinhood Markets are on its brilliant way to a minimum evaluation of $7 billion.
According to two people who are familiar with the contract said that The Menlo Park which is a start-up based in California has ushered in a minimum $200 million in a round of late-stage funding that would put its evaluation in between about $7 and $8 billion. They further said that Robinhood’s funding round which generally included existing investors has not closed meaning the sum could be elevated.
The previous series of Robinhood funding round pushed its evaluation to $5.6 billion. The Information was initially reported the fundraising round and Robinhood refused for commenting on the funding round.
Vlad Tenev and Baiju Bhatt who are the Co-CEOs constantly said the company is planning to set up an eventual public listing. In the period in-between, it is moving further into the customary economy. The company also submitted an application for a national bank charter to the OCC (Office of the Comptroller of the Currency) earlier this year.
A spokesman from Robinhood told, “This is a primary step towards being granted a national bank charter which would let Robinhood for presenting the traditional banking products as well as services”. “The goal of Robinhood is to offer its clientele a full set of monetary products to meet their requirements.”
Scott Racusin who was a former CEO Wedbush Bank and Merchants Bank of California hired by Robinhood for managing the project and ultimately step in as chief executive and president of the anticipated bank.
In last year the company saw a wonderful growth, in summers hiking from 4 million users to over 6 million users by the end of the year 2018. After a failed initiate late last year, Robinhood said it still plans to give a cash management feature within brokerage accounts to its patrons.
