KingsCrowd, a ratings and analytics provider for the online private markets sector, as well as the “Morningstar of equity crowdfunding,” announced on Tuesday it has purchased Newchip’s aggregator app and platform technology.
As previously reported, KingsCrowd wants to provide the first viable research and analytics service to support the growing online startup investment market, which means doing research on offers listed on the various Reg CF platforms (i.e. SeedInvest, StartEngine, Wefunder, Republic, NextSeed, Netcapital and more). The company was created by Chris Lustrino, founder of Fintech Blog SIC.
KingsCrowd revealed that through the new deal it will acquire Newchip’s aggregator technology assets, including its #1 startup investing app in the Apple App store, and more than 100,000 investors in its community. This strategic asset acquisition will 10X the size of the KingsCrowd community and firmly cement the company’s position as the leading ratings and analytics provider in the online private markets industry. Speaking about the acquisition, Lustrino stated:
“We have had a relationship since the beginning and have always thought the world of Newchip and what Ryan and his team were doing to bring efficiencies to this new world of online startup investing. To bring their users and capabilities into the fold under the KingsCrowd ratings platform is an incredibly exciting opportunity to transform the level of impact we can have on this market.”
Founded in 2016, Newchip claims it quickly became the largest equity crowdfunding market aggregator in the U.S. and the de-facto marketplace to discover startup investment under Reg. A+. Lustrino also noted:
“Newchip has become the category leader in providing comparison and portfolio tracking tools for maneuvering this new world of startup investing. With their impressive user base, intriguing technology and commitment to enhancing the online private markets, we saw this technology acquisition partnership as a clear strategic fit to amplify the reach of KingsCrowd.”
Ryan Rafols, Co-Founder and CEO of Newchip, added:
“As Newchip has grown over the years, its mission has expanded, and we found a significant opportunity in launching an accelerator to mentor founders. We believe that working together with KingsCrowd will allow us to accomplish our original mission of connecting everyday Americans to the best main street and pre-IPO investments while also allowing us to expand our vision of helping founders build investable and successful startups.”
Terms of the acquisition have not been disclosed at this time.