Webull Experiences Massive Surge Post-SPAC Merger

On its second day of trading following a SPAC merger with SK Growth Opportunities Corp., Webull's stock price skyrocketed nearly 375% on Monday.

This dramatic increase positions Webull with a significant market capitalization approaching $30 billion.

Contending with other platforms like Robinhood and E-Trade, Webull enables users to engage in the trading of stocks and options, as well as exchange-traded funds and cryptocurrencies. The platform is equipped with features such as charts, watchlists, and screening tools, and it also provides an option for simulated trading.

Webull boasts over 23 million users distributed across 15 different regions worldwide. In addition to transaction fees, Webull offers a premium service providing real-time data for an annual fee of $40.

As of last month, the company projected revenues of $390.2 million for 2024, a figure consistent with its 2023 results.

Founded in 2016 by Wang Anquan, a former executive from Alibaba and Xiaomi, Webull has attracted investments from firms like Coatue, General Atlantic, and Lightspeed. The app became particularly popular during the COVID pandemic, when many Americans utilized their stimulus checks for investments, according to comments made in 2021 by Anthony Denier, the U.S. CEO of Webull.

In November, the U.S. House Select Committee on the Chinese Communist Party sent inquiries to Denier about the firm's connections to China. At the time, Webull did not comment on the matter.

The peak of blank-check companies like SK Growth Opportunities occurred in 2021, with 613 initial public offerings, though the market has since contracted due to factors such as rising inflation and increasing interest rates. To date, 23 SPAC IPOs have been completed this year.

Webull indicated last year that it planned its market entry for the latter half of 2024.