Bridgepoint Acquires Digital Asset Services Company
Introduction to the Deal
Bridgepoint, a London-listed private equity investor, has closed a £200 million deal to buy a digital asset services company. This move comes amid growing demand for cryptocurrency investments. The company being acquired is a specialist in securing digital assets and technology.
About the Acquired Company
The digital asset services company, known as ht.digital (HT), has more than 700 customers. These include the largest worldwide crypto exchanges, as well as asset managers and banks seeking greater exposure to this sector. HT has offices in London, Malta, and the Cayman Islands. Recently, it became part of BKR International, an association of independent accounting and consulting firms.
Reason Behind the Acquisition
The trend of investing in cryptocurrency is expected to continue, despite recent losses in the total value of cryptocurrency assets. Bridgepoint spotted an opportunity to become an early private equity investor in a sector facing increasingly strict regulation. Instead of directly exposing its investors’ capital to the volatility of crypto asset prices, Bridgepoint chose to gain access to the sector through a company that provides compliance-driven services.
Growth and Background of HT
HT was spun out of accounting group Harris & Trotter in 2023 and has since experienced rapid growth. This growth was achieved by acquiring a wave of new clients across exchanges, blockchain platforms, and institutional clients. The company is led by its Managing Director, Nicholas Newman.
Strategy and Future Outlook
Bridgepoint’s move is strategic, allowing the firm to tap into the growing demand for cryptocurrency investments without directly exposing itself to the risks associated with crypto asset price volatility. This approach positions Bridgepoint favorably in a sector that is becoming increasingly regulated. The acquisition is expected to be announced, marking a significant step for Bridgepoint in the digital asset services sector.
