Category: Canada

Strathcona Resources Ltd. said it has entered into definitive agreements to divest “substantially all of its Montney assets” for about CAD 2.84 billion ($2.04 billion), as it prepares to make a hostile bid to take over fellow Canadian thermal oil producer MEG Energy Corp.

The Montney exit and the planned merger with MEG will allow Strathcona to become a pure-play heavy oil producer, it said.

The bulk of the Montney sale consists of Strathcona’s Kakwa business, to be acquired by ARC Resources Ltd. for around CAD 1.7 billion. The transaction value comprises CAD1.65 billion in cash and approximately CAD 45 million in assumed lease obligations. The sale is expected to be completed in the third quarter, subject to regulatory approvals and other customary conditions.

Strathcona is also selling its Grande Prairie business for about CAD 850 million, inclusive of about CAD 100 million in assumed lease obligations, to an unnamed buyer. The sale is also expected to close next quarter.

The Groundbirch business rounds up the Montney sales. It will go to Tourmaline Oil Corp. in exchange for CAD 291.5 million worth of shares being issued to Strathcona. The parties expect to conclude the transaction by June.

The Monetney dispositions produced 72,000 barrels of oil equivalent a day (boed), 28 percent of which were oil and condensates, last year. They had proven and probable reserves of 635 million boe as of December 2024, according to Strathcona.

“Taken together, the disposed assets generated CAD 149 million of operating earnings in 2024 (12 percent of total Strathcona year-end 2024 operating earnings, excluding interest and other corporate items) and had a YE 2024 proved PV-10 before-tax of approximately CAD 2.3 billion (15 percent of total Strathcona YE 2024 proved PV-10), while the combined sale price represents approximately 33 percent of Strathcona’s current enterprise value”, it said in an online statement.

MEG Bid

In a separate statement Strathcona said it intends to offer to acquire all MEG shares it does not already own, despite the latter’s board rejecting the proposal. “Strathcona believes the benefits of a combination of Strathcona and MEG are significant enough that MEG Shareholders should have the opportunity to decide for themselves”, Strathcona said.

Strathcona acquired about 23.4 million MEG shares through open market purchases this year. Those represented about 9.2 percent of issued and outstanding MEG shares as of May 5, Strathcona said.

MEG shareholders will be offered 0.62 common shares in Strathcona plus CAD 4.1 for each share they own at MEG.

“Based on the closing share price of the Strathcona Shares on the Toronto Stock Exchange (the ‘TSX’) on May 15, 2025, the Offer represents total consideration of CAD 23.27 per MEG Share (82.4 percent Strathcona Shares and 17.6 percent cash), reflecting a 9.3 percent premium based on the closing price of the MEG Shares on the TSX on May 15, 2025”, Strathcona said.

In conjunction with the planned offer, Strathcona’s majority shareholder, Waterous Energy Fund (WEF), intends to subscribe to an additional 21.4 million Strathcona shares through WEF III.

Existing Strathcona shareholders are expected to own 56.5 percent of the combined business, while existing MEG shareholders would hold 37.8 percent. Inclusive of its existing Strathcona shares plus those expected to be issued to WEF III, WEF’s shareholding in the merged company would be 51 percent, Strathcona said.

“The combination of Strathcona and MEG would unify two 100+ Mbbls/d [over 100,000 bpd] heavy oil ‘pure plays’ with near identical netbacks and reserve life indexes, both focused on SAGD [steam-assisted gravity drainage] oil sands development”, Strathcona said. “The combination would create Canada’s fifth largest oil producer and fourth largest SAGD producer, with among the largest proved oil reserves in North America”.

“Strathcona has identified CAD 175 million in annual synergy opportunities, including CAD 50 million in overhead reduction opportunities, CAD 25 million in interest savings opportunities and CAD 100 million in operating synergy opportunities (CAD 75 million in capital expenditures and CAD 25 million in operating costs)”, it added.

MEG responded in a statement on its website that its board would “consider and evaluate the Strathcona offer and related take-over bid circular, if and when received”.

“No formal offer has been made by Strathcona and MEG shareholders are advised to take no action with respect to any Strathcona offer until the Board has had an opportunity to fully review the offer, if and when received, and to make a recommendation as to its merits”, MEG added.

The Strathcona statement said it “remains ready and willing to engage with the MEG Board regarding a strategic combination”.

“To the extent the MEG Board determines it to be prudent, as the second largest MEG Shareholder, Strathcona would also support a strategic alternatives process for MEG to determine if a superior transaction is available”, Strathcona said.

Hardisty Rail Terminal Acquisition

Strathcona also announced it had completed the acquisition of the Hardisty Rail Terminal (HRT), which has a capacity of 262,000 bpd and a year-to-date throughput of about 50,000 bpd, for CAD 45 million.

“Together with Strathcona’s Hamlin Terminal, Strathcona now owns and operates rail terminals servicing approximately 80 percent of the total current crude-by-rail volumes in western Canada, allowing for meaningful economies of scale”, the company said.

“The HRT acquisition is a continuation of Strathcona’s countercyclical acquisition strategy focused on core area consolidation.

“While HRT is only 19 percent utilized today, it has been up to 82 percent utilized historically during periods of tight pipeline egress, providing Strathcona with a natural hedge against future egress bottlenecks”.

Dividend Increase

Strathcona raised its quarterly dividend by 15 percent compared to the first quarter of 2025 to CAD 0.3 per share. The increase partially reflects an upward revision in production guidance for 2025, normalized for the Montney divestments. Strathcona now expects 2025 production to average 150,000-160,000 boed.

In the January-March 2025 period Strathcona produced about 194,600 boed, up four percent against the prior three-month period driven by record production of 65,000 bpd at Cold Lake. Oil output was nearly 136,200 bpd, while natural gas averaged 279.52 million cubic feet a day.

Strathcona logged record quarterly operating earnings of CAD 322 million. Higher production and realized prices, as well as lower royalties, more than offset a stagnation in oil prices, it said.

To contact the author, email jov.onsat@rigzone.com

Can you start by sharing your professional background in the mining and investment space?

I started as an exploration geologist and then worked with two of Canada’s major banks as a mining investment banker, with a focus on financing the development of major mining projects in Canada and internationally. I then spent several years in western China (in Xinjiang: Altai and Tian Shan regions) as CEO of an exploration company, exploring for gold and copper. That company was subsequently sold to another stock exchange listed company.

Along the way, I have been the Co-chair and Co-founder of the globally recognized Canadian Mining Valuation Standards and currently represent Canada as the Chair of the International Mining Valuation Standards. For the past few years, I have been the CEO and partner of Global Mining Capital, which is focused on private equity (PE) investments and mergers and acquisitions (M&A); in partnership with Asian investors, in international jurisdictions such as Latin America, Africa, Central Asia, and South East Asia. I think we are one of the only few PE and M&A boutiques globally with a specific focus on mining projects in these emerging markets. On the mineral and metals side, we like gold, copper, battery minerals, rare earths, uranium, and most critical minerals. Our targets are large, late-stage development, near production, and shovel-ready projects; preferably after the pre-feasibility stage.

You’re part of the board for PDAC, which just ran last month in Toronto. Can you talk about some of the key trends or themes that you saw emerging from discussions there?

This year’s PDAC was filled with infectious optimism, despite the continued difficult funding situation for junior exploration companies. However it is important to note that financings were generally up during Q1 2025. There were over 27,000 attendees from more than 100 countries (including Canada). One of the things we saw was a big increase of the number and type of foreign country pavilions, with several European countries that historically did not have a large presence at PDAC, or for that matter much of an interest in the mining industry per se. This is due to the effects of geopolitics on mineral supply chains, which is now a major focus in the European Union (EU). Additionally, there were several mining ministers and government officials from various major developed countries, in addition to the usual mining cohorts from emerging markets countries.

The discussion themes that dominated included the gradual shift in the perception and image of the mining industry (towards positive), the rise of the gold price, the importance of copper and its supply dynamics, geopolitics of critical minerals, and the creeping consolidation of the industry via mergers & acquisitions. These topics were in addition to the usual annual discussions on sustainability and indigenous issues.

Geopolitics are having major impacts on the metals and mining and investment industries today, and we saw the new tariffs coming out of the Trump administration during PDAC this year. What are some of the biggest implications and impacts of geopolitics on the industry now?

Incidentally, over the years, I have had a strong research interest in geopolitics and how it affects the mining space. Just to stress a point, “geopolitics” relates to the interaction between and among countries and its positive or negative implications, as opposed to “country risk” which has historically affected mining investors, in areas such as expropriation, creeping expropriation, in-country taxation policies, and military coups.

Geopolitics is the big elephant in the mining room and the demand for critical minerals has forced several countries to become more nationalistic and form regional blocks. Furthermore, localization and re-shoring are amplifying the effects of geopolitics. The Trump Administration has been in negotiations with Ukraine (and recently the DRC-Congo) to exchange security arrangements for resources of rareearths, certain specialty minerals, and copper; as it seeks to have control of long-term predictable sources of these critical minerals.

The Trump Administration is not only aggressively supporting the energy sector (“drill baby drill”), but is also very supportive of the mining industry. Recently the Trump Administration has also announced that both coal and gold have been added to its critical minerals list. This is good news for the struggling junior gold exploration sector. Geopolitical tensions have pushed various countries’ central banks to add to their existing stockpiles of gold. The flight from US Treasuries, due to the effects of impending tariffs on the financial markets, as well as de-dollarization, is accelerating this trend towards gold. Countries like China, Russia, Turkey, India, and the UAE have been heavily accumulating the precious metal.

It’s important to note that the slowing energy transition (under the Trump Administration) and the consequent nearterm decrease in demand for critical minerals like lithium has been replaced by an up-tick in gold and copper prices. The big story in geopolitics used to focus on US/ China relations. Is this still a major influence on the metals and mining industry today?

Yes, the big story and in fact the dominant story in geopolitics continues to be the China story. Now it’s further accentuated by US/China relations. Chinese companies have been avoiding any acquisitions, or stock listings in the US over the past few years. Despite efforts in the US, Canada and the EU, China is still the major processor of most critical minerals globally. It is estimated that China processes more than 85% of the world’s rare earths, between 50% and 60% of the world’s lithium, and refines over 90% of the world’s graphite for EV batteries, as well as 87% of 20 of the key critical minerals.

I have spent more than a decade doing business in and with China; and have seen China move from an investee country (where Canadian and Australian companies invested heavily in China) to an investor country (where China became the investor in these same countries, as well as in emerging markets). That era of China being an investor in Canada has basically ended. This means that the available “pot” of funding and financing that was previously available for junior Canadian companies, has been basically cut in half. I would argue that this is one of the key reasons why the junior exploration market continues to be starved for funding.

Let’s look at the regional investment environment in Canada at the moment. Where do you see investment currently focused? Are there any exciting emerging opportunities?

The Trump tariff threat will have some tremendous benefits for the mining industry in Canada. After going through the five stages of grief (and shock), Canada has now reached the point of “acceptance”. In fact, the Trump tariff threat is a blessing in disguise. The mining sector will be one of the key beneficiaries. Interprovincial trade barriers are likely to diminish as the country looks East-West, instead of North-South to the US. Differing provincial regulations and hindrances will be reduced. This means that geologists and mining professionals will have less restrictions and more mobility to easily work in another province. Politicians of all stripes have indicated that they will speed up the permitting process for developing mines. This means that it will not take 15 to 20 years to get a mine to production. Also there will be more public-private partnerships (PPP) for associated mine infrastructure (roads, ports, power) as Canada seeks to become more self-reliant.

Finally, the image of mining will increase among the general Canadian public, as they acknowledge that the new “Canada Strong” slogan can only be realized if the country develops its natural resources, which is its natural competitive advantage.

Finally, what are some key trends that you think will drive the industry in the coming year?

The key trends for the coming year include the continued rise of gold prices, the geopolitics of critical minerals, the importance of copper and its supply dynamics, tariffs and consolidation of the industry via mergers and acquisitions.

Keith Spence is CEO and Partner of Global Mining Capital. The company is engaged in Private Equity Investments and M&A globally. The company has extensive funding relationships with its partners in Asia.

A field geologist; he held positions in Capital Markets and Investment Banking at RBC Capital Markets, Scotia Bank, and BMO Capital Markets. He is a member of the Board of PDAC and has been a member of the Board of the Canadian Institute of Mining & Metallurgy (CIM). He was CEO of Alliance Pacific Resources, which explored for gold and base metals in western China.

Mr. Spence is Co-Founder and Co-Chair of the “world recognised” Canadian Mining Valuation Standards and Guidelines for mining projects; which is referenced by the Toronto Stock Exchange (TSX-V), the Hong Kong Stock Exchange and Singapore Stock Exchange. He has spoken at numerous international mining conferences, has been quoted in several leading press and media, and has written extensively on China’s international mining investments.

He received the CIM Distinguished Lecturer Award, the SME Mineral Economics Award (USA), the PDAC Distinguished Award, Robert Elver Mineral Economics Award for outstanding contributions to Canadian mineral economics and received the Queen Elizabeth Diamond Jubilee Medal Award, for contributions to Canada. A Commonwealth Scholar; he is a graduate of the Global Management program at Harvard University, has an Honors B.Sc. in Geology and an MBA both from Western University.

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Public Keys is a weekly roundup from Decrypt that tracks the key publicly traded crypto companies. This week:

Choppy week for Coinbase 

Coinbase flagged a $400 million cybersecurity breach this week—one of the biggest in the company’s history. The most troubling aspect is that the exploit arose because an overseas contractor was bribed to steal customer data.

In a video posted online, CEO Brian Armstrong said that criminals were able to gain access to sensitive user data, including names, addresses, partial bank details, and ID documents. But less than 1% of customers were affected, he added.

The criminals intended to blackmail Coinbase into paying $20 million to stop the data being released. The company refused and has since set up a $20 million bounty for information leading to the parties responsible.

To make matters worse, the company is also dealing with a probe from the U.S. Securities and Exchange Commission over its user numbers.

The news first appeared in The New York Times. Four unnamed sources told Times reporters that the inquiry began last year during President Joe Biden’s administration and is ongoing—despite the fact that the SEC has dropped its lawsuit against the exchange.

Coinbase claimed in its original public offering document in 2021 to have more than 100 million “verified users.” But by 2023, the company had stopped using that language in its marketing material.

But hey, choppy means ups and downs right? Despite a few bumps, the company recently joined the S&P 500 and is ending the week trading for $266.78. That’s an 18% gain compared to this time last week.

Nasdaq newbies: eToro and Galaxy Digital

Investment and financial services firm Galaxy Digital and trading platform eToro have joined the Nasdaq, under the GLXY and ETOR tickers, respectively.

The paths the companies took to get there couldn’t be more different. 

Galaxy Digital has been listed on the Toronto Stock Exchange since 2018. Which is why despite the fact that it’s only just hit the Nasdaq as of this morning—CEO Mike Novogratz rang the opening bell—the company has been reporting its earnings for years.

After the company’s big debut, Novogratz told CNBC that the process the company’s gone through to redomicile to the U.S. was “un-American, unfair, infuriating.”

During the same interview, the crypto CEO alluded to eToro having faced a tough road to a U.S. IPO—but was light on the details. 

It’s true that eToro tried and failed to go public in the U.S. via a SPAC deal in 2021.

The few details that have come out about its successful IPO round came from Israeli tech site Calcalist, which said the deal’s underwriters closed the book on orders because the round was 10x oversubscribed.

Call us naive, but that doesn’t sound too unfair or infuriating. The company has soared to a $5 billion market cap after its debut. 

Other Keys

• Bitcoin Trouble Company: Healthcare companies love Bitcoin, eh? This time it’s Singapore-based Basel Medical Group that says it’s working on adding $1 billion worth of BTC to its balance sheet. But investors aren’t as twitchy with the buy button as they used to be for glowing orange treasury strategies. The company’s shares, which trade on the Nasdaq under the BMGL ticker, have lost 17% today and are trading for $2.18.
• So long, Wisconsin pensioners: The State of Wisconsin Investment Board sold its entire $300 million stake in BlackRock’s iShares Bitcoin Trust during Q1, according to recent SEC filing. Or rather, it’s the fact that after showing up on its Q4 filing last year, IBIT is missing from its most recent list of investments.
• Back to office?: Coinbase, which we often refer to as a San Francisco-based company, hasn’t actually had an office in San Fran for a while. It got shuttered in 2021, at the dawn of the COVID-19 pandemic. Now, the SF Chronicle reports that the company is nearing a deal to move into a roughly 150,000-square-foot space at 1090 Maya Angelou Ln.. If it does, it’ll be sharing an address with Golden State Warriors management. Too soon to rename Chase Center to Coinbase Center?

(MENAFN– Newsfile Corp)
Vancouver, British Columbia–(Newsfile Corp. – May 16, 2025) – Pacific Ridge Exploration Ltd. (TSXV: PEX) (OTCQB: PEXZF) (FSE: PQWN) (“Pacific Ridge” or the “Company”) is pleased to announce that, due to strong investor demand, the previously announced non-brokered private placement (the “Offering”) has been increased from $1,860,000 to $2,900,000.

Proceeds from the Offering will be used for a follow up drill program at the Company’s 100% owned RDP copper-gold project (“RDP”) and for general working capital. Drilling at RDP in 2022 returned 107.2 m of 1.39% copper equivalent* (“CuEq”) or 2.06 g/t gold equivalent**(“AuEq”) (0.63% copper, 1.10 g/t gold, and 2.91 g/t silver) within 497.2 m of 0.66% CuEq* or 0.97 g/t AuEq** (0.37% copper, 0.40 g/t gold, and 1.60 g/t silver)(see news release dated October 25, 2022). RDP is located in northcentral B.C., 40 km west of the Company’s flagship Kliyul copper-gold project (see Figure 1).

Figure 1: Location of RDP and Pacific Ridge’s Other Copper-Gold Porphyry Projects

To view an enhanced version of this graphic, please visit:

The Offering consists of units (“Units”) at a price of $0.14 per Unit and critical mineral flow-through units (“FT Units”) at a price of $0.17 per FT Unit. Each Unit is comprised of one common share of the Company and one common share purchase warrant (“Warrant”). Each FT Unit is comprised of one common share of the Company issued as a “flow-through share” within the meaning of the Income Tax Act (Canada) (each, a “FT Share”) and one Warrant. Proceeds from the sale of the FT Units will be used for “Canadian critical minerals exploration expenses” at Pacific Ridge’s B.C. projects. These expenditures will qualify as “critical mineral flow-through mining expenditures” within the meaning of the Income Tax Act (Canada).

Pacific Ridge previously announced closing of a first tranche of the Offering by issuing 1,632,430 Units and 618,823 FT Units for gross proceeds of $333,740.11. The Company expects to close the final tranche of the Offering on or about May 30, 2025. Pacific Ridge may pay finder’s fees of 7% cash on a portion of the Offering. In addition, the Company may issue finder warrants, exercisable for a period of 36 months, to acquire in aggregate that number of non-flow-through common shares of the Company which is equal to 7% of the number of Units and FT Units sold under the Offering at a price of $0.20. The Offering and payment of finder’s fees are subject to TSX Venture Exchange acceptance.

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”) or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

About Pacific Ridge

Pacific Ridge is one of B.C.’s leading copper exploration companies. The Company’s flagship asset is its 100% owned Kliyul copper-gold project, located in the Quesnel terrane close to existing infrastructure. In addition to Kliyul, Pacific Ridge’s project portfolio includes the RDP copper-gold project, the Chuchi copper-gold project, the Onjo copper-gold project, and the Redton copper-gold project, all located in British Columbia. Pacific Ridge would like to acknowledge that its B.C. projects are located in the traditional, ancestral and unceded territories of the Gitxsan Nation, McLeod Lake Indian Band, Nak’azdli Whut’en, Takla Nation, and Tsay Keh Dene Nation.

On behalf of the Board of Directors,

“Blaine Monaghan”

Blaine Monaghan
President & CEO
Pacific Ridge Exploration Ltd.

Investor Relations:
Tel: (604) 687-4951
Email: …
Website:
LinkedIn:
Twitter:

*CuEq = ((Cu%) x $Cu x 22.0462) + (Au(g/t) x AuR/CuR x $Au x 0.032151) + (Ag(g/t) x AgR/CuR x $Ag x 0.032151)) / ($Cu x 22.0462).
**AuEq = ((Au(g/t) x $Au x 0.032151) + ((Cu%) x CuR/AuR x $Cu x 22.0462) + (Ag(g/t) x AgR/CuR x $Ag x 0.032151)) / ($Au x 0.032151).
Commodity prices: $Cu = US$3.25/lb, $Au = US$1,800/oz., and Ag = US$20.00/oz.
There has been no metallurgical testing on RDP mineralization.
The Company estimates copper recoveries (CuR) of 84%, gold recoveries (AuR) of 70%, and silver recoveries (AgR) of 65% based on average recoveries from Kemess Underground, Mount Milligan, and Red Chris.
Factors: 22.0462 = Cu% to lbs per tonne, 0.032151 = Au g/t to troy oz per tonne, and 0.032151 = Ag g/t to troy oz per tonne.

The technical information contained within this News Release has been prepared under the supervision of, and reviewed and approved by. Danette Schwab, P.Geo., Vice President Exploration of the Company, and a Qualified Person as defined by National Instrument 43-101 – Standards of Disclosure for Mineral Projects.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Forward-Looking Information: This release includes certain statements that may be deemed “forward-looking statements”. All statements in this release, other than statements of historical facts, are forward-looking statements. Forward looking statements in this news release include plans to drill RDP, completing the Offering, and oversubscribing the Offering. Although Pacific Ridge believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploration successes, and continued availability of capital and financing and general economic, market or business conditions. These statements are based on a number of assumptions including, among other things, assumptions regarding general business and economic conditions; that at least one of the options will be exercised; that Pacific Ridge and other parties will be able to satisfy stock exchange and other regulatory requirements in a timely manner; that TSXV approval will be granted in a timely manner subject only to standard conditions; that all conditions precedent to the Agreements will be satisfied in a timely manner; the availability of financing for Pacific Ridge’s proposed programs on reasonable terms, and the ability of third party service providers to deliver services in a timely manner. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements. Pacific Ridge does not assume any obligation to update or revise its forward-looking statements, whether because of new information, future events or otherwise, except as required by applicable law.

NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

To view the source version of this press release, please visit

SOURCE: Pacific Ridge Exploration Ltd.

MENAFN16052025004218003983ID1109559947

Robinhood Markets has made its move into Canada with the acquisition of Canadian crypto company WonderFi Technologies for C$250 million (US$179 million) in a cash deal, representing a turning point for the company’s global expansion and strengthening its presence in the regulated crypto space. The transaction—offering a 41% premium over WonderFi’s last closing price—brings together Robinhood’s U.S. user base and WonderFi’s established platforms, Bitbuy and Coinsquare, which together handled over C$3.57 billion in trading volume in fiscal year 2024. Subject to shareholder and regulatory approvals, the deal is expected to close in the latter half of 2025, positioning Robinhood to compete more aggressively in the global digital-asset arena.

Deal Overview

The deal, which was announced on May 13, 2025, will involve Robinhood purchasing all the issued and outstanding WonderFi common shares at C$0.36 per share—for an aggregate of about C$250 million of total equity value and about US$179 million of cash consideration. The deal price is a 41% premium to the Toronto Stock Exchange closing price on May 12, 2025, and a 71% premium to the 30-day volume-weighted average trading price. WonderFi shareholders will consider the proposal in the next few months, and the transaction must be approved by Canadian regulators and the courts prior to being finalized in H2 2025.

Strategic Rationale

Enhancing Canadian Presence

WonderFi runs two of Canada’s largest regulated crypto exchanges—Bitbuy and Coinsquare—which had C$3.57 billion in trading volume in 2024, a 28% increase from the previous year. By merging these platforms, Robinhood gets instant access to an established pool of Canadian crypto users as well as a solid regulatory framework to complement its long-term vision to become a full-fledged financial-services provider outside of U.S. stock trading.

Aligning with Robinhood’s Growth Vision

The takeover aligns with Robinhood’s international expansion and diversification of products as a whole strategy. The company opened its Canadian headquarters in Toronto in 2024, leveraging regional tech capabilities and setting itself up for growth. Conversely, Robinhood’s Q1 2025 revenue from cryptocurrency transactions was US$252 million, a clear indication of the significance of the industry to its top line.

Regulatory and Approving Process

The transaction constitutes a statutory plan of arrangement pursuant to British Columbia’s Business Corporations Act. It continues to be subject to standard closing conditions, including:

• WonderFi shareholder approval
• Clearance of the Canadian regulatory body
• Arrangement approval by the court

Once cleared, WonderFi’s leadership team and over 140 Canadian employees will join Robinhood’s existing workforce, bolstering its capabilities in compliance, customer support, and engineering.

Industry Consolidation and Market Reaction

The acquisition falls within a broader wave of consolidation in the digital-asset industry under more favorable U.S. regulatory conditions. Notable recent transactions include Coinbase’s US$2.9 billion takeover of Deribit and Ripple’s US$1.25 billion purchase of Hidden Road. Robinhood’s stock has increased over 50% year to date as of 2025, a signal of investor confidence in its diversified growth strategy and expanding crypto universe.

Future Plans

Subject to completion, WonderFi will be brought under Robinhood’s Crypto business, furthering its rollout of better, customer-centric crypto products for Canadian consumers. The move supports Robinhood’s mission to democratize finance worldwide and suggests that it is set to leverage regulated exchanges to fuel the next phase of growth.