(Reuters) FTX CEO Sam Bankman-Fried has refuted claims that his crypto exchange is in talks to buy brokerage firm Robinhood Markets.
Bankman-Fried was responding to reports that emerged on Monday that FTX was holding talks to buy Robinhood.
The FTX CEO says there are no active M&A talks with Robinhood. He said that he is still excited about the business prospects of Robinhood and the potential ways they could partner.
The reports come when FTX, last month, revealed a 7.6% stake in Robinhood. The crypto exchange, however, said it had no intention to acquire the retail trading firm.
The acquisition reports come when Robinhood is under pressure as trading volumes ease. The company’s shares are down nearly 50% this year.
Robinhood’s dual-class share structure is still a deterrent to potential suitors. The structure gives its founders 64% control of the voting shares outstanding, making it problematic for potential takeovers to proceed without their agreement.
HOOD: NASDAQ is down -3.18% in premarket.
