In a strategic move poised to revolutionize the private investment sector, Blockchain Coinvestors Acquisition Corp. I (Nasdaq: BCSA), a distinguished special purpose acquisition company, and Linqto, Inc., an innovative digital investment platform, have declared their entry into a definitive business combination agreement. This pivotal transaction will see Linqto becoming a wholly-owned subsidiary of BCSA, heralding a new era of growth and accessibility in private investing.

Under the terms of the agreement, a special purpose vehicle and wholly owned subsidiary of BCSA will merge with and into Linqto, with Linqto emerging as a surviving entity under BCSA’s umbrella. This merger is expected to culminate in an implied enterprise value for Linqto of approximately $700 million, reflecting the significant market confidence in its business model and future prospects. Additionally, Linqto’s existing common equity will be canceled, and its shareholders will be compensated with newly issued shares of BCSA.

A notable aspect of the transaction is BCSA’s planned jurisdictional shift from the Cayman Islands to Delaware, enhancing the corporate structure and operational efficiency of the combined entity. This change, termed the “Domestication,” involves the conversion of BCSA’s ordinary shares into shares of common stock of the Delaware entity, facilitating a seamless transition for shareholders.

Linqto’s technology-enabled platform has set the benchmark for democratizing access to private venture investments, historically the purview of institutional investors and the ultra-wealthy. By facilitating investments in leading unicorns and private tech companies, Linqto aims to make private investing accessible, affordable, and liquid for accredited individual investors. The merger with BCSA is a testament to Linqto’s commitment to innovation and growth in the private markets sector.

Joe Endoso, CEO of Linqto, expressed enthusiasm for the merger, highlighting the enhanced opportunities and value it brings to investors and the broader ecosystem. “This merger represents a significant milestone in Linqto’s journey towards growth and innovation in the private investing space,” Endoso stated, underscoring the company’s dedication to expanding opportunities in the private markets.

The merger is supported by the leadership teams of both companies, including BCSA’s Chairman and Managing Director Matthew Le Merle, CEO and Managing Director Lou Kerner, and other key executives. Legal counsel for the transaction is provided by Seward & Kissel LLP for BCSA and Lowenstein Sandler LLP for Linqto, ensuring the highest standards of legal and regulatory compliance.

With over $390 million in private investments and a global community of more than 750,000 users, Linqto’s partnership with BCSA is set to accelerate its mission of democratizing private market access. The transaction, awaiting shareholder approval and subject to customary closing conditions, is slated for completion in the second half of 2024, marking a significant milestone in the evolution of private investing.

The merger between Linqto and BCSA signifies a transformative step in making high-potential private investments more accessible to individual investors, reshaping the future of the private markets landscape.

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