Betterfront has developed a suite of industry-specific data analytics tools designed to connect fund managers' track records with their fundraising story. This allows managers to visualize their track record and review it from a partner's perspective. Combined with a fundraising platform, users can then more successfully raise capital from institutional investors. And an intelligent data room enables improved engagement with investors. According to Betterfront, it has helped fund managers raise over €4 billion in capital since its founding in 2019.
Equation, in turn, was founded in 2020 and is an active investor in primary and secondary transactions. The Munich-based company focuses on data-driven and technology-supported decision-making. For this purpose, the investor has also developed its own software platform designed to enable improved investment decisions in private markets. Equation is backed by Mark Schmitz (CEO), a former founding member and partner at the venture capital fund Lakestar, and Prof. Dr. Reiner Braun (Chairman), a leading researcher in the field of private market research at the Technical University of Munich.
With the acquisition, the two companies aim to improve the speed and efficiency of fundraising for fund managers while giving them full control over the data they share. As an additional enhancement, the Betterfront platform now also enables fund managers to offer Limited Partner Secondary Stakes on its digital marketplace.
“Today marks a new chapter for Betterfront”
Michel Geolier, Co-Founder and CEO of Betterfront, is joining Equation as VP of Business Development as part of the translation. His startup should continue to grow as an independent brand. He says:
"I'm delighted to be working with the exceptional team at Equation. Like Betterfront, they believe that analytics enable better investment decisions and are the key to success in the private markets. This acquisition will help us accelerate the development of our platform and deliver even greater product value to fund managers and institutional investors worldwide. I'm grateful for the trust our team, clients, and investors have placed in us throughout Betterfront's evolution into a leading fundraising and secondary platform. Today marks a new chapter for Betterfront and the beginning of an exciting future for private markets."
And Mark Schmitz, Co-founder and CEO of Equation, added:
"As active fund investors in both primary and secondary transactions, we firmly believe that the private markets can become significantly more efficient through the use of data and intelligent software solutions. Track record analysis is a core part of due diligence, but the lack of standardization makes it unnecessarily difficult for capital allocators and fund managers to find common ground. With Betterfront, fund managers can radically improve their fundraising process and provide liquidity to their existing investors, which is often the key to new fund commitments. We are on a shared mission to promote transparency in the private markets at a time when such investments are essential for economic growth. We have followed Betterfront's progress from the beginning and are delighted to welcome the company to the Equation Group."
