Galaxy Digital Holdings Ltd. seeks to buy BitGo Inc. for a record $1.2 Billion, according to The Wall Street Journal. The deal is the first valued over $1 billion in the cryptocurrency industry.
The deal will make Galaxy a crypto-focused entity controlling at least $40 billion in assets.
The combined entity will provide a variety of products and services such as trading, custody and asset management, prime lending, investment banking, tax services, as well as, mining.
Galaxy will finance $265 million in cash and the rest through 33.8 million shares issue.
The deal could be finalized in the fourth quarter resulting in a 10% ownership by BitGo.
BitGo, though well known in the crypto sector, lacks name recognition while Galaxy stock has more than doubled in 2021 resulting in a $3.2 billion market value. Galaxy stock is currently gaining, GLXY: TSE is up 3.94%
