Arabnews24.ca:Thursday 23 March 2023 07:49 AM: Ziglu, a British cryptocurrency business, is exploring a cut-price sale nearly a year after agreeing an ultimately aborted takeover by Robinhood, the American fintech giant.
Sky News has learnt that Ziglu, which offers crypto trading to thousands of customers, is in the process of hiring investment bankers to oversee a sale.
City sources said the company was trying to raise capital to give it sufficient funding to continue operating until a sale could be agreed.
One insider said Ziglu was seeking £2m at a valuation of roughly £10m, underlining the tough trading environment in which the company now operates.
It recently told investors it planned to suspend some services in order to reduce costs, including a decision not to take on new customers for several months.
Ziglu is already understood to have kicked off talks with a number of parties interested in acquiring it.
Last year, Ziglu was on the brink of a $170m takeover by Robinhood, the US-based share trading platform.
However, the price was sharply reduced by the buyer last summer amid intense pressure on cryptocurrency valuations, before the deal was eventually abandoned last month.
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Mark Hipperson, Ziglu's founder, left the company at around the same time.
Ziglu did not respond to a series of requests for comment.
