Global investment platform TokenMarket announced a partnership with CMS equIP, the global accelerator programme for tech start-ups run by international law firm CMS. equIP will become preferred legal advisor to ambitious growth companies that are raising capital via Security Token Offerings (‘STOs’).
The partnership brings together two specialist support providers for early-stage, businesses looking to raise growth finance. TokenMarket has completed more than 30 blockchain-based fundraises since the end of 2016, helping to secure over £250M for its clients. The company was one of the first to apply for digital asset licenses in the UK, Malta, Gibraltar and Dubai in order to perform security offerings on the blockchain.
CMS equIP offers affordable legal advice and other value added services including exclusive training, introductions and networking opportunities to early stage, IP-rich start-ups across 20 countries, giving them access to proven industry expertise at every stage of their growth, whether they are expanding their business, entering a new market, looking for advice under a different country’s law or structuring a deal in another jurisdiction.
equIP’s global reach and reputation mean it can offer businesses around the world the same levels of high quality legal advice, training, mentoring and networking opportunities, all the while reflecting local practices, laws and regulations. Since its inception, equIP has successfully helped over 100 technology clients to successfully complete over 60 individual rounds of fundraising.
Today’s partnership will help SME growth companies in the CMS equIP programme to raise finance through STOs, leveraging TokenMarket’s investment platform and investor community. In turn, TokenMarket clients will be able to access expert legal advice to support their STOs.
TokenMarket and CMS equIP together will deploy a vigorous selection process to carefully select companies which they believe have the best commercial possibility for exits in a 3-7 year window. The creation of tokenised primary and secondary markets will provide self-certified investors access to new investments, and quicker opportunities for exits, than those offered by traditional VC or private equity deals.
Ryan Hanley, Managing Director, commented:
“SMEs are the backbone of any modern economy, but many are held back by the scarcity and expense of growth finance. STOs open up a new, cheaper, easier way for ambitious companies to raise capital. Today’s announcement is an exciting milestone for bringing STOs further into the mainstream. By partnering with CMS equIP, not only will we identify companies with the most commercial promise, but we will offer these companies another, crucial level of support in navigating the world of STO financing.”
Charles Kerrigan, Banking Partner at CMS, added:
“We are pleased to partner with TokenMarket. TokenMarket are a young and innovative company representing a number of exciting businesses from across the blockchain community who boast exceptional qualities that we seek from early-stage businesses joining the CMS equIP programme. Our partnership will also provide real value for equIP members who are interested to explore the STO framework of financing via TokenMarket’s investment platform and community. We are excited to be working with TokenMarket and their clients, and look forward to the synergies that this partnership will bring.”