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Wealthsimple achieves $1.5 billion valuation on new fundraising round

Canadian robo-advisory firm Wealthsimple has achieved Unicorn status on a CA$114 million investment round led by by TCV, along with Greylock, Meritech, Two Sigma Ventures and existing investor Allianz X

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Wealthsimple achieves $1.5 billion valuation on new fundraising round

Editorial

This content has been selected, created and edited by the Finextra editorial team based upon its relevance and interest to our community.

Wealthsimple, which manages $8.4 billion and has more than 1.5 million users, pitches itself as a low-fee way to invest through its robo-advisory services and commission-free stock trading.

The company had previously raised about US$190 million, valuing it at US$743 million.

The purchase price associated with the latest fundraising values the common equity of Wealthsimple at $1.5 billion.

The firm continues to be controlled by the Power Corporation group of companies, which collectively hold 62% of its common shares, while IGM retains a 36% stake. The new investors will have an ownership stake of 7.4%.

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