Abstract: Apex Clearing, a clearing and digital asset custody company, will be listed through SPAC with a valuation of 4.7 billion US dollars.
Clearing and digital asset custody companyApex ClearingWill passSPACThe waybe listed, with an estimated value of $4.7 billion.
Apex is a financial technology company, providing customers with clearing services, digital custody, cryptocurrency solutions and stock trading services. Apex's parent company is Peak6 Investments, a financial technology company, and its clients include Firstrade Securities Inc and Social Finance Inc(SoFi).
On Monday, the company said it would merge with Northern Star Investment, a SPAC company supported by Jon Ledecky, one of the owners of the NHL team New York Islanders.
SPAC is a shell company that raises funds through IPO. Private companies that want to go public can merge with such companies to achieve the purpose of backdoor listing. Compared with traditional IPO, SPAC is more confident in valuation and needs less review, so it is welcomed by many companies.
Apex will be listed on the new york Stock Exchange after merger under the trading code "APX". Citigroup is the financial advisor of Northern Star Company, and JP Morgan Chase Securities is the financial advisor of Apex.
The transaction with Northern Star is expected to bring Apex a total cash income of US$ 850 million, including US$ 450 million in private investment from Fidelity and Baron Capital.
Upon completion of the transaction, William Capuzzi, CEO of Apex, and Tricia Rothschild, president of Apex, will continue to hold their existing positions in the merged company. Joanna Coles, Chairman and CEO of Northern Star, will join the board of directors of the new company.
Apex said, "Apex's paperless products and solutions are an infrastructure market with total assets exceeding 100 trillion US dollars, of which the company's current custody scale is about 100 billion US dollars. Year-to-date, Apex Clearing has provided custody services for new assets of $14 billion. Apex is experiencing significant growth and development momentum. At present, it provides services to more than 200 customers, representing more than 13 million customer accounts, of which 3.2 million accounts were opened in 2021 alone, and there are more than 1 million new encrypted accounts. "
Apex Clearing has recently expanded its product range by launching an cryptocurrency platform called Apex Crypto, which allows brokers and investment platforms to provide cryptocurrency investment to their customers.