Topline

Shares of popular stock trading app Robinhood rose roughly 4% on Tuesday after the company said it has signed a deal to buy Ziglu, a London-based cryptocurrency trading app, as it looks to lay the groundwork for expanding into the UK and Europe.

Key Facts

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Robinhood has signed a deal to buy British fintech app Ziglu, an electronic money institution that lets users buy and sell 11 different cryptocurrencies as well as make payments overseas.

Terms of the deal were not disclosed, while the acquisition remains subject to regulatory approvals, according to an announcement from both companies on Tuesday.

Robinhood shares rose around 4% on the news, a brief respite from ongoing struggles which have seen the company lose nearly two-thirds of its market value since going public on the Nasdaq last summer.

The announcement is part of Robinhood’s “aggressive goals” to open up its cryptocurrency trading platform to customers internationally, and it comes just two weeks after the company extended crypto wallet services to more than two million US customers.

Robinhood said in its press release that its long-term goal is to eventually “integrate” Ziglu customers onto its platform, as it will serve as a key part of the plans to “accelerate” international expansion into the UK and Europe.

It remains to be seen whether the latest move can help reverse Robinhood’s downturn in which shares have lost 40% this year, and as the company faces a significant slowdown in trading activity from retail investors—both in stocks and cryptocurrencies.