Tioex is a Swedish fintech that enables investors to buy secondaries in high-profile private growth companies in the country. Having previously invested in private tech companies such as Klarna, Eindride, Doktor.se, Exeger, etc., has entered the US market.
In a landmark move, it has announced a secondary investment of $1 million in SpaceX, Elon Musk’s space tech company. This makes Tioex one of the first European investors in the company. Having managed to invest in SpaceX, Tioex believes that it will be able to make many more investments in pre-IPO startups in the US.
Last year SpaceX raised $750 million in a new round of funding that values the company at $137 billion. The investment came from a16z aka Andreessen Horowitz.
Investment in SpaceX made possible
Buying secondaries in tech startups was almost impossible until 2020 when the fintech let participants invest in Klarna. It is relatively new for fintechs and the Swedish company has made this first-of-its-kind move. While it focused on Swedish companies until now, their members were interested in owning shares of SpaceX.
With the investment in SpaceX, Tioex heralds access to the world’s largest pre-IPO market, with some of the most exciting private companies. As per CNBC, the SpaceX valuation reached $180 billion in December 2023. This positions the spacetech firm above other US companies, including Boeing, Verizon, etc.
Access to shares of private tech companies
Led by Johan Hägglund, Tioex believes that more people should have access to the wealth created by private tech companies. Also, it believes that shareholders of private companies should have increased control over when and how they sell their shares. The Tioex platform creates more opportunities for investors and more liquidity for shareholders, thereby creating a healthier, more vibrant ecosystem for everyone.
Unlike marketplaces such as Crowdcube, Tioex tries to get deals on specific startups in equity by targeting existing shareholders who want to sell their shares. All the investments are made by its members and partners. Unlike VC firms, it does not make direct investments in startups.
Before investing in SpaceX, Tioex spent a year analysing the pre-IPO market in the US as it was more difficult to buy secondaries there than in Sweden. Despite the downturn in investments in 2023, Tioex successfully entered 15 compelling investments, including new companies such as Instabee, A3P Biomedical, and Cake.
SpaceX, an overview
The SpaceX Starship program, a part of NASA’s effort to return astronauts to the moon, has faced delays. The company’s satellite internet service, Starlink, surpassed 1 million subscribers and provided a lifeline to Ukrainians whose infrastructure was disrupted by Russia’s invasion.
With more than 3,000 satellites, Starlink provides broadband connectivity to users, especially in rural areas without fixed lines. A goal of 42,000 satellites is expected by mid-2027.
Further, SpaceX managed to launch 60 reusable rockets in a single year through its Falcon program. At the company’s Starbase facility in Boca Chica, Texas, Starship and Super Heavy launch vehicles are currently being developed. A launch test of these larger vehicles in orbit is the next step in the program, but it is unclear when this will take place.
“SpaceX, with its revolutionary advancements in space exploration and its bold vision to colonise Mars, is on the verge of rewriting humanity’s history, with a vision that few companies in our lifetime, if any, can match. I am enthusiastic about presenting investment opportunities of this caliber, such as SpaceX, to Tioex investors,” said Johan Hägglund, founder and CEO of Tioex
“Our mission is to create access to the most interesting pre-IPO opportunities for Tioex´s investors, regardless of where these companies are based. The US pre-IPO market is well established and very complex, featuring companies with large market caps that require substantial capital and connections for entry,” Hägglund added.
