VentureWave snaps up Funderbeam in a $40m investment deal

By Gloria Methri

Irish-based private equity firm VentureWave has acquired a majority stake in Funderbeam, a blockchain-based start-up for angel investors. VentureWave acquired the majority stake in a €40 million investment round that also included participation from existing backers, Mistletoe, Draper Associates, and FunderBeam CEO Ruusalepp.

The transaction gives VentureWave the technology to target the life cycle of global venture investments and secondaries, from early-stage angel funding until pre-IPO secondaries. For FunderBeam, the deal will help it scale up from angel markets to additionally serve institutional clients, such as VC funds, family offices, brokers, and investment banks.

Alan Foy, VentureWave Chairman billed the investment as a game-changer for venture markets. “Together, we have the necessary assets, technology, and capital to take on the entire venture investment life cycle. This represents a transformative moment to put impact at the centre of the investment industry.”

Kaidi Ruusalepp, founder and CEO of Funderbeam said, “This transaction creates a powerful platform to fast forward Funderbeam’s vision which is to serve venture investments across borders and create a unique secondary market for private assets. The timing of the transaction couldn’t be better – we are strong at a time when the market is ready for our solution.”

Taizo Son, founder of Mistletoe said, “Mistletoe is supporting impact companies. Companies that introduce change for the better in the way we live and do business. Funderbeam has been a pioneer in changing the way that the venture market works – democratising investments in start-ups and enabling exits when needed. A solution that puts founders first in their mission. It takes endurance and resilience to introduce novel models in the financial sector and we are very happy that the other impact investor, VentureWave, is joining in.”