(Bloomberg) -- Circle Internet Financial Ltd. agreed to sell Circle Invest, a digital-asset-investment app for individual investors, to Voyager Digital (Canada) Ltd. for an equity stake in the company.
Voyager will issue common shares to Circle representing about 4% ownership in the New York-based firm, and will reimburse certain costs to Circle. Shares of Voyager traded at about 22 cents Tuesday in New York.
After initially focusing on retail-oriented crypto businesses, Circle has been pouring more resources its so-called stablecoin known as USDC. In December, the Boston-based company sold its Circle Trade over-the-counter trading business to crypto exchange Kraken. It previously unloaded its Poloniex exchange.© Photographer: Andrey Rudakov/Bloomberg Mining farms
Voyager will add more than 40,000 retail accounts with the agreement, bringing its customer base to over 200,000 uses, the companies said in a statement. The transaction is expected to close by the end of March.
As part of the transaction, Circle and Voyager will partner on delivering fast, global, low-cost payments to the combined customer base.
"It's transformative for Voyager in that we get to scale our business in an efficient way with such a great partner as Circle," Steve Ehrlich, chief executive officer of Voyager, said in a phone interview.
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