Republic completes Seedrs acquisition
US private investment firm Republic has completed its acquisition of UK-based crowdfunding platform Seedrs.
The $100m (£75m) deal, which was announced in December, has created the first global private investment marketplace with offerings across North America and Europe.
Seedrs will continue to operate under its existing name and brand, forming the European arm of the newly expanded global retail division of Republic. The combined entity will have 2.5 million users and 1,370 active portfolio companies.
The global retail division will be led by current Seedrs chief executive Jeff Kelisky, who will also serve as an executive vice president of Republic, overseeing the company’s global retail operations, which includes Seedrs and the US-based crowdfunding portal.
Around 600 deals and $300m in net investment are expected to flow through the combined platform in 2022, under Kelisky’s expanded global remit.
Seedrs chief marketing officer Kate McCutchen will oversee Republic Retail’s global marketing efforts and Seedrs chief product officer Joel Ippoliti will become global product lead for the retail investing organisation. The remaining Seedrs’ leadership team will continue in their roles.
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In the past decade Seedrs sought to break down barriers to investing in European businesses, with more than £2bn in investment facilitated on the platform.
It has managed more than 1,700 successful campaigns including fast-growth brands like THIS, Revolut and Chapel Down, while the Seedrs Secondary Market has seen more than 700 companies have their shares traded in over 44,000 transactions.
“By bringing Seedrs into Republic we gain, not just further geographical expansion, but also the team’s talent, technology and knowledge,” said Kendrick Nguyen, founder and chief executive at Republic. “This will help strengthen our position as a global leader and better serve the founders and businesses and the investors that support them.”
Seedrs recently launched its European headquarters in Dublin, with managing director Randal MacDonald and finance director John Gavin now onboard to help accelerate European growth. This is in addition to senior hires in Lisbon, Madrid, Amsterdam, Stockholm and Copenhagen.
Over the last six months, Seedrs has seen several continental campaigns such as Sweden’s Fishbrain, BUX based in the Netherlands and Estateguru in Estonia, raising millions for European businesses since the start of the year.
“This deal is a natural extension of our relationship with Republic – a coming together of two pioneers with a shared vision and purpose,” Kelisky said. “Together we are now the first truly global platform for private equity investing with the drive, capital, and capabilities to shape the future of the industry.”
Republic has committed additional capital into Seedrs to deliver new innovations and products for European investors and private businesses.
This acquisition caps a landmark 18 months for Seedrs. After celebrating 10 years since its first campaign in July, Seedrs also crossed £2bn in total investment in August.
Last year, the platform saw a 137 per cent growth in investment activity following increased investor appetite to put money into private businesses.
It completed 310 deals in 2021, helping businesses from 14 different countries to raise funds and received investment from investors in more than 74 countries. It also facilitated more than £12m of secondary share sales between 19,000 buyers and sellers on the platform.
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