Ziglu, a British cryptocurrency business, is exploring a cut-price sale nearly a year after agreeing an ultimately aborted takeover by Robinhood, the American fintech giant.

Sky News has learnt that Ziglu, which offers crypto trading to thousands of customers, is in the process of hiring investment bankers to oversee a sale.

City sources said the company was trying to raise capital to give it sufficient funding to continue operating until a sale could be agreed.

One insider said Ziglu was seeking £2m at a valuation of roughly £10m, underlining the tough trading environment in which the company now operates.

It recently told investors it planned to suspend some services in order to reduce costs, including a decision not to take on new customers for several months.

Ziglu is already understood to have kicked off talks with a number of parties interested in acquiring it.

Read more from business:
More than a million universal credit payments cut over the past year because of historical overpaid tax credits
Manchester United owners extend deadline for bids

Last year, Ziglu was on the brink of a $170m takeover by Robinhood, the US-based share trading platform.

However, the price was sharply reduced by the buyer last summer amid intense pressure on cryptocurrency valuations, before the deal was eventually abandoned last month.

Mark Hipperson, Ziglu’s founder, left the company at around the same time.

Ziglu did not respond to a series of requests for comment.

Related posts:

New £1bn trade agreement with India could create more than 6,500 jobs Energy crisis: The blame game has begun – but are some of the claims just hot air? Energy emergency, electric taxis and Britain’s newest bank Markets are uneasy about debt-laden Evergrande – but this is no Lehman moment PM’s supply chain tsar urges overhaul of UK infrastructure cap Banks and asset managers vie to carve up £1bn mortgage platform Kensington Sunak defends handling of COVID support scheme and vows to go after loan fraudsters Fed steps closer to rate hike as Powell says inflation outlook ‘just a bit worse’ Wizz Air reports financial loss but says it is trying to minimise travel disruption Euan Blair’s Multiverse says funding round gives it valuation of $1.7bn Tui reveals £63m hit from recent travel chaos Slower inflation growth eases pressure on US Fed to hike interest rates