Coinshares Initiates Acquisition: Exercising Option to Merge with Valkyrie Funds
CoinShares International Limited has officially exercised its option to acquire Valkyrie Funds LLC, the US digital asset manager’s investment advisory firm specializing in actively managed cryptocurrency exchange-traded funds (ETFs). This strategic move follows the US Securities and Exchange Commission’s recent approval for the issuance of Valkyrie’s spot Bitcoin ETF, the Valkyrie Bitcoin Fund.
CoinShares expects strengthened AUM through acquisition of Valkyrie Funds
The Valkyrie Bitcoin Fund began trading on Nasdaq at 9:30 a.m. ET on January 11, marking a milestone for the company as part of the first cohort of issuers for such products in the USA. CoinShares’ decision to acquire Valkyrie Funds is in line with positive developments in the US regulatory landscape and reflects its strategy to expand its offering of digital assets in the American market.
Upon completion, the acquisition is expected to add approximately $110 million to CoinShares’ existing $4.5 billion in assets under management (AUM). Dollar strengthens. This addition represents current AUM levels within Valkyrie’s existing ETF products, including The Valkyrie Bitcoin Fund, The Valkyrie Bitcoin and Ether Strategy ETF and The Valkyrie Bitcoin Miners ETF.
Jean-Marie Mognetti, CEO of CoinShares, commented on the development: “Exercising our option to acquire Valkyrie Funds aims to expand our European success in the US and provide American investors with unprecedented access to regulated digital asset products . This expansion is a clear statement of our interest in acquisitions to support our goal of being a global leader in digital assets.”
CoinShares exercised an option to buy an exchange-traded funds business from rival Valkyrie, two days after US regulators approved ETFs investing directly in Bitcoin https://t.co/VQtTxu0rUa
— Bloomberg Crypto (@crypto) January 12, 2024
Valkyrie Funds Anticipates Successful Partnership
The exercise of this acquisition option represents a crucial step in the process and underlines CoinShares’ commitment to adding Valkyrie Funds to its portfolio. The integration of Valkyrie’s funds and operations into the CoinShares Group is expected to strengthen the company’s position in the American digital asset investment market.
Leah Wald, CEO of Valkyrie Funds, expressed excitement about the partnership: “CoinShares has established itself as a leading player in the digital assets space and we are excited to see how they continue to advance this space by leveraging the Valkyrie team.” and expertise.”
The acquisition is subject to the completion of satisfactory due diligence, the conclusion of the necessary legal agreements and final approval from the CoinShares Board. Valkyrie Funds will maintain its operational independence until the acquisition is fully executed and completed.
