GENTWO is becoming a bankable asset. An investment product, launched via Clarus Capital Group's issuing platform, simplifies the possibility of making an early-stage startup investment in this successful Swiss securitization specialist.
GENTWO recently entered a “classic” round of financing, raising ten million Swiss francs. This successful securitization specialist is being advised by the highly respected auditing firm PricewaterhouseCoopers (PwC). Raising this capital is meant to serve the company’s next phase of acceleration, in particular its internationalization, further expansion of its business activities, and new growth initiatives.
GENTWO is also becoming the underlying asset of a tracker certificate
Independent of the more conventional aspects of its capital acquisition program, the securitization expert is also taking an additional financing route: the GENTWO share has become the underlying instrument of a tracker certificate, thus becoming bankable. Professional investors can acquire this investment instrument over the counter, like any other certificate from a bank issuer. As a result, this early-stage startup investment can easily be included in a (diversified) investment portfolio.
“By making ourselves an investable and ‘portfolio-compatible’ asset, we are making use of a very modern option for raising capital. In the process, we are also able to make optimal use of our own core competence, securitization – the very basis of our business success. We are pleased that such a talented investment boutique as Clarus Capital is the firm launching the tracker certificate on GENTWO. The fact that they are also one of our clients is a valuable acknowledgment of our capabilities,” says Patrick Loepfe, Chairman and founder of GENTWO.
Investment boutique Clarus Capital makes its securitization platform available
GENTWO builds securitization platforms for its institutional clientele. They can then independently issue financial products (of the next generation) without the involvement of a bank issuer. The tracker certificate with the “GENTWO” underlying is being securitized on the issuing platform that GENTWO has set up for the renowned asset manager Clarus Capital. When the moment came for GENTWO to become investable itself, it was Clarus Capital who suggested the idea: Why not use exactly the same emissions platform that you create for your own clients? Clarus Capital had several good reasons for proposing this: as the fastest growing asset manager in Zurich, they not only want to provide investment access to GENTWO as an interesting early-stage startup investment, but also to simplify the investment process and make it more scalable.
Roger Ganz, Head Asset Management at Clarus Capital, explains: “We like GENTWO's business case; since the company was founded in February 2018, it has even exceeded its growth expectations. In our view, an investment like one in GENTWO can be an interesting addition to a diversified portfolio. Clients appreciate it when asset managers ‘pick out’ interesting investment ideas that are off the beaten path. Of course, these investors must then decide for themselves whether the respective 'story' fits their portfolio.”
This investment product is available to all professional investors
One of the reasons why Clarus Capital is so convinced of the still relatively young company's potential is that the renowned asset manager itself has been a GENTWO client since the end of 2018. It can therefore appreciate the quality of the securitization services GENTWO offers, is familiar with all the details of the securitization process, and has already had several opportunities to benefit from GENTWO’s “Customer Experience”.
As Roger Ganz describes his own GENTWO customer experience: “All we have to do is place a securitization order; we don’t have to worry about any further processes or management issues. This significantly simplifies our everyday business. GENTWO is a kind of one-stop shop for us. But the decision to securitize the fintech firm as an investment instrument was not simply based on our personal experience as a client. Before we became GENTWO’s client, we naturally looked at other eligible securitization solutions on the market. But as a full-service provider with a fintech approach, GENTWO came out ahead (above all thanks to its service quality).”
The tracker certificate is available to all professional investors, including those who are not Clarus Capital clients. Interested investors should contact Clarus Capital or their investment advisor for more information.
Clarus Capital Group AG