• SeedBlink launches its proprietary platform for secondary trading
• Its main standout feature is SeeedBlink’s trademark democratized access
• Such juggernauts as Klarna, .lumen, and Bolt are heralding SeedBlink’sfacilitated access to tier-one secondaries

Late November, the famous Romanian crowd investment platform SeedBlink announced the launch of its long-awaited Secondaries platform. The offering significantly facilitates access to opportunities in high-growth private companies and regional tech innovators, including Klarna, .lumen, and Bolt.

SeedBlink represents a comprehensive equity and investment platform offering infrastructure, financial services, and network access for European tech companies and their stakeholders. It enables seamless equity management, investment, and trading across all growth stages. With a robust suite of tools and services, SeedBlink simplifies the investment process, supporting businesses from initial funding rounds to mature investment opportunities and secondary markets.

The platform empowers investors and entrepreneurs with efficient solutions for managing equity and fostering sustainable growth in the European tech ecosystem. By adding access to the secondary market, SeedBlink enhances its presence in the European market, offering a wide array of private market investment opportunities. This approach meets liquidity demands while allowing investors to tap into high-growth sectors.

Perfect Timing for Secondaries

‘Secondary markets are evolving rapidly, yet they remain largely inaccessible to private investors. The timing aligns with evolving market conditions and our strategic goal to simplify private companies’ equity access, management, and trading for all stakeholders,’ SeedBlink’s CEO Andrei Dudoiu tells ITKeyMedia.

Indeed, the past year has seen a significant rise in secondary transactions globally, driven by an increasing demand for liquidity among startup stakeholders and heightened interest in mature, high-potential scaleups.

‘At SeedBlink, we dedicated 2024 to building our infrastructure and running pilots to test demand and refine processes. Earlier, our focus was on scaling the primary market and launching our equity management platform, ensuring we delivered the highest standards before expanding into secondaries. Now, with the right infrastructure and resources in place, we are ready to meet the demand for secondary transactions,’ Mr Dudoiu adds.

Focused on private investors, SeedBlink Secondaries stands out among other secondary market platforms because of its focus, accessibility, and pricing. It targets portfolio diversification and liquidity for stakeholders of European late-stage rising stars and pre-IPOs.

Ease of Entry and Other Perks

Unlike traditional secondary platforms that target only accredited investors with high entry thresholds or are limited to specific geographies in US/UK, the platform offers a lower entry barrier – starting from as little as EUR 1,000 for SeedBlink Club members and EUR 2,500 for general investors.

‘Additionally, we ensure deal transparency, seamless communication, and a user-friendly platform to provide an accessible and efficient experience for all investors. We’re committed to sharing all available information from the seller, including company performance data that is publicly accessible. Since secondaries often occur between funding rounds, direct company disclosures are rare. However, we aggregate and share information from trusted media, previous funding rounds, and other public sources. Our role is to facilitate a fair and transparent process,’ SeedBlink’s chief product and marketing officer Adriana Iordan explains.

The platform is open to both retail and institutional investors. Individuals can invest via a nominee structure, provided they meet basic Know Your Customer (KYC) and Anti-Money Laundering (AML) checks. This inclusivity reflects SeedBlink’s commitment to democratize access to private markets.

SeedBlink’s general counsel Andrei Hâncu specifies that institutional investors can participate as both buyers and sellers:

• As buyers: They gain access to curated, high-quality late-stage companies at competitive pricing to diversify their portfolios.
• As sellers: They can monetize their positions in portfolio companies to rebalance or reinvest capital.

Institutional investors are integral to the platform as their presence ensures liquidity and helps validate the quality of deals on the platform, benefiting all participants.

Companies’ Eligibility, Valuation, and Fees

As for companies, they are eligible for secondary trading with SeedBlink based on several criteria:

• The company must be a private company based in Europe or have a significant presence in the European market.
• It should have a track record of growth and a clear trajectory toward an IPO or significant liquidity event.
• Shares offered by the seller must not be regarded as transferable securities as defined by MIFID, meaning substantial transfer restrictions must be in place according to the company’s by-laws.

‘We also look for companies with engaged shareholders who may want to monetize their positions, ensuring a steady flow of supply and demand on the platform,’ Ms Iordan adds.

The valuation is based on the price asked by the selling shareholder, anchored by the last publicly available company valuation. While secondary shares are often discounted compared to primary round valuations, SeedBlink commits to ensuring that the price reflects market conditions, company performance, and investor demand.

SeedBlink applies a transaction access fee and an annual management fee, which remains in effect until an exit event. Fees are tailored based on deal size and complexity.

First Secondary Campaigns and Perspectives

With over EUR 2M raised through six pilot secondary transactions this year, the platform is in line with the growing demand for liquidity and portfolio diversification across tech companies at different stages of development.

SeedBlink’s flagship secondary campaigns are by such household names as Klarna, .lumen, and Bolt.

Klarna, the renowned Swedish fintech company, is gearing up for a US IPO in 2025. SeedBlink offered investors an appealing entry point into one of Europe’s leading fintech firms. This opportunity concluded on December 1st.

.lumen is an AI-driven DeepTech company developing smart glasses for the visually impaired. With support from EIC, .lumen enhances mobility and independence through advanced navigation technology, positioning investors in a rapidly growing sector at the intersection of AI and assistive tech. Its PAD AI software extends beyond assistive devices, enabling humanoid and quadruped robots to navigate pedestrian infrastructure globally, transforming deliveries. The investment window closes on December 29th.

Founded in 2013 by Markus Villig, Bolt has grown into a global leader in sustainable mobility. Headquartered in Tallinn, Estonia, it operates in over 500 cities across 45 countries, serving 150 million customers with support from 3 million driver and courier partners. Backed by investors like Sequoia Capital and Fidelity Management, Bolt offers ride-hailing, micromobility, food and grocery delivery, and car-sharing, reshaping urban living. The opportunity is open until January 10th, 2025.

‘Secondaries represent an opportunity for investors to diversify their portfolios by accessing mature, proven companies like Bolt. This not only offers exposure to a high-growth market leader but also aligns with SeedBlink’s mission to democratize access to pre-IPO opportunities. Bolt is a standout example of innovation and scalability, and we’re excited to connect investors with such a transformative company,’ SeedBlink’s head of financial services Eric Bartha comments.

‘For companies like Klarna, .lumen, and Bolt, the SeedBlink Secondaries platform offers a much-needed liquidity avenue for their shareholders. Employees, early investors, and even institutional stakeholders in these companies now have the option to monetize part of their equity without waiting for an IPO or acquisition. SeedBlink Secondaries is designed to address the evolving needs of both companies and investors. With accessible pricing, a European focus, and a transparent process, we’re excited to shape the next phase of private market investing,’ Mr Dudoiu concludes.