CoinShares International has secured an exclusive option to acquire Valkyrie Funds, a U.S. digital asset manager’s investment advisory business specialising in actively managed cryptocurrency exchange traded funds, from Valkyrie Investments.
CoinShares’ option to acquire Valkyrie Funds is active until its expiry on March 31, 2024.
Jean-Marie Mognetti, CEO of CoinShares, said: “The option to acquire Valkyrie is accelerating our expansion into the U.S. market and the deployment of our digital asset management expertise globally.”
“Valkyrie Fund’s deep understanding of the U.S. market and track record of developing investment products for crypto exposure aligns perfectly with our vision and operational ethos. CoinShares is looking forward to exploring this acquisition option and bringing, with the know-how of Valkyrie’s founders, premier digital asset products to American investors.”
As part of the acquisition option deal, the two companies have finalised a brand licensing agreement.
Throughout the option period, Valkyrie Investments is granted a limited, revocable global licence to use the “CoinShares” name for its S-1 filings with the SEC.
Should the SEC approve the Valkyrie Bitcoin Fund, Valkyrie Investments plans to incorporate the CoinShares name, signifying CoinShares’ first venture into offering a mainstream crypto passive product in the US market.
“At the heart of our mission is to expand high-quality digital asset investment opportunities, joining CoinShares through this move underscores this shared ambition and vision,” said Leah Wald, CEO of Valkyrie.
“CoinShares is a recognised, global leader and first-mover in the digital asset investment landscape with exceptional market expertise and an innovative spirit. Together, with Valkyrie’s established U.S. presence and existing offerings, alongside CoinShares’ global reach and infrastructure, we’re poised to deliver groundbreaking products aimed at solving investors’ needs.”
The option grants CoinShares the exclusive right to purchase 100% of Valkyrie Funds from Valkyrie Investments, as well as all of Valkyrie Investments’ associated rights with the Valkyrie Bitcoin Fund and any other unlaunched ETFs currently held by Valkyrie Investments.
CoinShares’ exercise of the acquisition option is contingent on regulatory approvals and consents, satisfactory due diligence and the completion of requisite legal agreements.
Valkyrie Funds will continue to operate as an independent entity until any potential acquisition by CoinShares is finalised and the transaction is executed.
For the last 10 years, CoinShares has established itself as the leading player within the European crypto exchange-traded product market, where it currently commands the largest market share and oversees more than $3.2bn in AUM, at the date of this communication.
The strategic acquisition option is the next step in CoinShares’ expansion into the U.S. market, following the launch of CoinShares Hedge Fund Solutions in September of 2023.
