Blockchain

CoinShares acquires ETF index business from Alan Howard’s crypto company

[ad_1]

European digital asset management company CoinShares announced that it will acquire the exchange-traded fund (ETF) index business from cryptocurrency company Elwood Technologies for US$17 million. The transaction is expected to be completed in the second week of July. announcement.

Elwood-owned by billionaire hedge fund manager Alan Howard-is known for its partnership with Invesco to launch the Invesco Elwood Global Blockchain Equity UCITS ETF, or Invesco Blockchain ETF for short. By providing exposure to international listed companies in the blockchain business, the index has accumulated more than $1 billion in assets since its establishment in 2019.

According to the announcement, the transaction will be settled through equity swaps. CoinShares will issue 1,298,322 new common shares at a price of US$13.09 per share, with a total value of approximately US$17 million.

As part of the acquisition, Elwood’s equity research team focused on digital assets will also join CoinShares. The announcement stated that the acquisition will not affect the Elwood Index and Invesco Blockchain ETF. The cooperation aims to bridge the gap between traditional asset management and cryptocurrency and provide both parties with better connections with global institutional participants.

Jean-Marie Mognetti, CEO of CoinShares, highlighted the growing interest in thematic ETFs, describing Elwood Index and Invesco as “natural partners” of CoinShares.

related: CoinShares lists physically supported crypto ETPs on German exchanges

“We believe that blockchain technology and encrypted assets will continue to develop and play an increasingly important mainstream role in business, finance and society,” said Gary Buxton, head of Invesco EMEA ETF. He added that the growth of equity ETFs “proves the momentum of the industry and the attractive opportunities for investors.”

Elwood owner and crypto hedge fund giant Allen Howard is a major investor in CoinShares. last month, He also made a new investment The London-based crypto services company Copper.co and the Asian crypto investment platform Kikitrade.