Robinhood Markets, Inc. ( HOOD ) has signed an agreement to acquire WonderFi Technologies Inc., a Canadian cryptocurrency platform, in an all-cash transaction valued at approximately $178 million.

What Happened: The purchase price of $0.26 per share represents a 41 percent premium over WonderFi's closing price on May 12 and a 71 percent premium over its 30-day volume-weighted average price, according to a company statement.

WonderFi operates Bitbuy and Coinsquare, two regulated cryptocurrency exchanges in Canada, with a reported $1.49 billion in assets under custody.

The company will continue operating its platforms after the transaction closes.

The deal is expected to be completed in the second half of 2025, subject to shareholder approval, regulatory review and court authorization.

Robinhood, which opened a Canadian headquarters in Toronto in 2024, will incorporate WonderFi's operations into its existing crypto business.

According to the agreement, WonderFi's leadership team is expected to remain with the company following the acquisition.

Employees will be added to Robinhood's Canadian workforce, which currently includes over 140 people.

Also Read: Coinbase Could See Up To $16B Net Inflows After S&P 500 Entry: Bernstein

The acquisition will be carried out under a statutory plan of arrangement governed by British Columbia corporate law.

Robinhood plans to fund the purchase using existing cash reserves. No stock issuance or debt financing will be used to support the transaction.

WonderFi shareholders will receive the full purchase amount in cash.

The company's common shares are currently listed on the Toronto Stock Exchange. The combined equity value of the transaction, on a fully diluted basis, stands at approximately $178 million.

Advisors on the deal include J.P. Morgan Securities for Robinhood and Financial Technology Partners for WonderFi.

Legal counsel was provided by Canadian firms on both sides, including Goodmans LLP, Cassels Brock & Blackwell LLP, and Mintz LLP.

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