SyndicateRoom, a former securities crowdfunding platform and current online investment platform that takes a portfolio approach, has been acquired by Smith Brothers Group.
The terms of the deal were not disclosed.
In an email from SyndicateRoom CEO Graham Schwikkard, he said the company was commencing a new chapter for their business.
Schwikkard said:
“This change unlocks fresh opportunities for growth, allowing us to expand our funds under management—like the recently launched Carbon13 SEIS Fund VII—and further develop the fund management services we offer.
Importantly, our existing management team will remain in place, and all our current products and services will continue uninterrupted. In essence, it’s business as usual for you—there’s nothing you need to do.”
Schwikkard noted that Smith Brothers have been investors since 2016 and the discussion regarding an acquisition was kicked off in 2023.
Martin Heatlie, CEO of the Smith Brothers Group, said the investment is indicative of their confidence in SyndicateRoom’s EIS Fund and its management architecture as well as its team.
“We hope our commitment will bring stability to the business, provide certainty to existing clients, and enable the team to extend their innovative fund to new clients, continuing to fuel the growth of start-ups across the UK.”
SyndicateRoom started its existence as a regulated securities crowdfunding platform that transitioned into a fund-based operation. Its strategy was to track the activity of top Angel investors and then utilize this data to sharpen their investments. Most, if not all, investments have been SEIS/EIS qualified.
SyndicateRoom recently reported that its model aims to capture a consistent ~25% growth of the entire UK startup market with portfolios of the market’s top 10% of performers. The company’s most recent report regarding the Access EIS Fund reported overall its valuation had increased by 25.5%.