Digital securities marketplace ADDX has raised USD $58 million in a “pre-Series B” round. The additional funding brings the total raised since inception to $120 million.
New shareholders in ADDX include SET Venture Holding – part of the Stock Exchange of Thailand, UOB, Hamilton Lane (NASDAQ: HLNE) and Krungsri Finnovate, the corporate VC arm of Krungsri (Bank of Ayudhya PCL). Existing shareholders also participated including Singapore Exchange (SGX), Temasek controlled Heliconia Capital, Development Bank of Japan (DBJ), Japan Investment Corporation – Venture Growth Investments (JIC-VGI), Tokai Tokyo Financial Holdings, Kiatnakin Phatra Financial Group and Hanwha Asset Management.
ADDX is regulated and authorised by the Monetary Authority of Singapore. It is approved to issue, custody, and trade digital securities.
The new capital is expected to help boost its position as “Asia’s largest private market exchange.”
ADDX leverages blockchain and smart contract technology to tokenize and fractionalize private market securities including hedge funds, bonds, and more. Minimum investments stand at USD $10,000 – due to the efficiencies of the technology making it easier for individuals to participate in primary offerings.
Oi-Yee Choo, CEO of ADDX, commented on the round:
“ADDX is on a mission to democratise the private markets. The sizeable investment from SET, UOB, Hamilton Lane and Krungsri serves as a ringing endorsement for ADDX’s business model, the team we have assembled and the broader vision we have for transforming the capital markets and the wealth management industry. The new shareholders aren’t just capital partners, but strategic partners too. They have much to contribute in the form of expertise, ideas, market experience and business networks, and ADDX looks forward to adding value to their businesses in return. This Pre-Series B round sets ADDX up strongly for long-term success.”
Choo noted that the Thailand Exchange was the second regulated exchange to back ADDX, describing it as a global trend.
Pakorn Peetathawatchai, President of the Stock Exchange of Thailand, said backing ADDX will contribute to the development of digital assets in Thailand.
“We look forward to working with the ADDX team and we strongly believe that the collaboration will provide extensive experience, knowledge and more opportunities to Thai capital markets’ stakeholders through the international digital capital markets platform.”
Leong Yung Chee, Head of Group Corporate Banking, UOB, added that the tie-up with ADDX will help them as their corporate clients will be able to tap new fund-raising channels, while our accredited investor clients will gain access to alternative investments in tokenised assets.
Erik Hirsch, Vice Chairman and Head of Strategic Initiatives at Hamilton Lane, said:
“The ADDX platform is delivering transformative technology to a broad array of individual investors seeking access to the private markets. They are well positioned in the digital securities space and Hamilton Lane is excited to have participated in this latest fundraise. This investment highlights our conviction around the attractive opportunity in providing private market investments to the non-institutional channel, expands our presence in Asia and allows us to join some of the leading institutions in that region in support of ADDX.”
Sam Tanskul, Managing Director, Krungsri Finnovate Co. said the investment will further strengthen their ecosystem and partnerships, and significantly broaden investment opportunities for their high-net-worth customers as it offers enhanced access to private markets:
“We look forward to collaborating with ADDX to introduce new initiatives for Thailand’s investment community.”