Hamilton Lane Joins Latest Round of Funding for Private Market Exchange ADDX

Rhea-AI Summary

Hamilton Lane (NASDAQ: HLNE) has invested in Singapore-based digital private market exchange ADDX, enhancing access to private market investments for non-institutional investors. This investment follows a recent partnership offering tokenized access to Hamilton Lane's Global Private Assets Fund, lowering the minimum investment from $125,000 to $10,000. The latest funding round for ADDX raised $58 million and included several institutional investors. Hamilton Lane aims to leverage innovative technology solutions to democratize private market access globally.

Positive

• Investment in ADDX enhances Hamilton Lane's presence in Asia's private markets.
• Partnership allows lower minimum investment in private markets, democratizing access.
• $58 million raised in ADDX's funding round signifies strong confidence from institutional investors.

Negative

• None.

Investment underscores the firm's commitment to broadening access to the private markets through innovative technology solutions 

CONSHOHOCKEN, Penn. , May 24, 2022 /PRNewswire/ -- Hamilton Lane (NASDAQ: HLNE) today announced its participation in the latest funding round for Singapore-based digital private market exchange ADDX, highlighting the firm's commitment to providing private market investments to the non-institutional channel through innovative technology solutions.

The investment follows a partnership between the firms announced earlier this year to offer tokenized access to Hamilton Lane's Global Private Assets Fund ("GPA" or "the Fund") on the ADDX platform, reducing the minimum commitment amount and therefore expanding access to the private markets for a broader set of investors in Asia. The partnership marked the first time Hamilton Lane tokenized a fund, making it one of the earliest major private markets firms to do so and reflecting the firm's long-standing commitment to identifying and investing in innovative technology solutions as a means of solving for some of the traditional pain points in the asset class.

"We believe that embracing new technologies such as tokenization is the logical next step toward the democratization of the private markets globally," commented Frederick Shaw, Managing Director. "Hamilton Lane has always been a solutions provider - that extends beyond products and includes identifying and partnering with innovative solutions meant to reduce the friction around investing in our asset class."

The GPA Fund is accessible to ADDX investors at a minimum ticket size of $10,000, compared to the minimum of $125,000 or more for investors who subscribe via traditional, non-tokenized distribution channels. Launched in May 2019, the underlying assets in the open-ended fund are composed primarily of direct equity and secondary investments, along with direct credit.

ADDX's latest funding round raised $58 million of Pre-Series B capital that saw several financial institutions come on board as new shareholders in addition to Hamilton Lane, including SET Venture Holding, a subsidiary of the Stock Exchange of Thailand (SET), UOB, and Krungsri Finnovate, the corporate venture capital arm of Krungsri (Bank of Ayudhya PCL). 

Erik Hirsch, Vice Chairman and Head of Strategic Initiatives at Hamilton Lane, commented: "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 underscores our belief in 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."

For more than a decade, Hamilton Lane has been making strategic investments into innovative financial technology firms aimed at improving access and transparency within the private markets. Many of the companies in which the firm has invested today are viewed as standard bearers for the industry. In addition to ADDX, recent investments have included ESG technology platform Novata and wealth management fintech platform TIFIN.

About Hamilton Lane 
Hamilton Lane (NASDAQ: HLNE) is a leading private markets investment management firm providing innovative solutions to institutional and private wealth investors around the world. Dedicated exclusively to private markets investing for 30 years, the firm currently employs more than 520 professionals operating in offices throughout North America, Europe, Asia Pacific and the Middle East. Hamilton Lane has $851 billion in assets under management and supervision, composed of over $98 billion in discretionary assets and nearly $753 billion in advisory assets, as of December 31, 2021. Hamilton Lane specializes in building flexible investment programs that provide clients access to the full spectrum of private markets strategies, sectors and geographies. For more information, please visit www.hamiltonlane.com or follow Hamilton Lane on LinkedIn: https://www.linkedin.com/company/hamilton-lane/.   

About ADDX
ADDX is a full-service capital markets platform with Monetary Authority of Singapore (MAS) licenses for the issuance, custody and secondary trading of digital securities. The financial technology company raised US$50 million in its Series A round in January 2021. Its shareholders include Singapore Exchange (SGX), Temasek subsidiary Heliconia Capital, Japanese investors JIC Venture Growth Investments (JIC-VGI) and the Development Bank of Japan (DBJ), Japan's Tokai Tokyo Financial Holdings, Korea's Hanwha Asset Management and Thailand's Kiatnakin Phatra Financial Group. Accredited individual investors using the ADDX platform today come from 39 countries, spanning Asia Pacific, Europe, and the Americas (excluding the US). ADDX also serves wealth managers and corporate investors through its institutional service, ADDX Advantage. ADDX is owned and operated by ICHX Tech Pte Ltd. ICHX Tech has been approved by MAS as a recognised market operator (RMO). It also has a capital markets services (CMS) license to deal in securities and collective investment schemes as well as to provide custodial services. For more information, visit ADDX.co.

View original content:https://www.prnewswire.com/news-releases/hamilton-lane-joins-latest-round-of-funding-for-private-market-exchange-addx-301553572.html

SOURCE Hamilton Lane

FAQ

What was Hamilton Lane's investment in ADDX about?

Hamilton Lane invested in ADDX to enhance access to private market investments for non-institutional investors.

How does the investment in ADDX affect HLNE's market position?

The investment strengthens HLNE's presence in Asia and showcases its commitment to innovative technology solutions.

What is the minimum investment for Hamilton Lane's Global Private Assets Fund on ADDX?

The minimum investment for the fund on ADDX is now $10,000, down from $125,000.

How much did ADDX raise in its latest funding round?

ADDX raised $58 million in its latest funding round, attracting various institutional investors.

When was the partnership between Hamilton Lane and ADDX announced?

The partnership between Hamilton Lane and ADDX was announced earlier in 2022.