Private Markets Sector
Venture capital and private equity activity saw large capital commitments, with Accel closing $3.5 billion across four new funds and Kalshi negotiating a $750 million round at a $40 billion valuation. Major financial institutions also pursued strategic acquisitions, as Goldman Sachs agreed to buy ETF manager Neos Investments for up to $2.25 billion and eToro moved to acquire TradeZero for $231 million. Concurrently, crypto integration advanced through MoneyGram expanding onto Solana and federal regulators conditionally approving de novo bank charters for digital asset firms.
Accel has closed a $550 million early-stage fund for India as part of a coordinated $3.5 billion global fundraising effort across four separate vehicles. The new India fund, which is Accel's ninth for the country, was oversubscribed and closed within weeks despite the firm retaining more than 50% of its previous $650 million India vehicle. Accel does not expect to begin deploying capital from the new $550 million fund until 2027, continuing instead to draw from its earlier pool of dry powder. The broader $3.5 billion raise also includes an $1.35 billion global expansion fund, alongside $800 million dedicated to the US and another $800 million for Europe and Israel. While the US and European funds grew from their prior vintages, the new India fund is $100 million smaller than its predecessor.
Goldman Sachs has agreed to acquire exchange-traded fund manager Neos Investments for up to $2.25 billion in cash and equity. The transaction will bring Neos' $30 billion across 19 options-based income funds under Goldman Sachs Asset Management, lifting the bank's total ETF assets to about $130 billion and making it the eighth-largest active ETF manager. Neos co-founders Troy Cates and Garrett Paolella will join Goldman as partners alongside the firm's broader team. The purchase is the bank's second multibillion-dollar ETF acquisition in nine months, following its deal for Innovator Capital Management. The agreement is expected to close in the first quarter of 2027, subject to regulatory approval.
Trading platform eToro agreed to acquire U.S.-focused online brokerage TradeZero for up to $231 million in cash and newly issued Class A shares. The transaction gives eToro established broker-dealer infrastructure and proprietary trading tools in the United States and Canada, accelerating its push into North American retail stock trading. The deal is structured to use cash and up to 2.5 million Class A shares, and is expected to close in the first half of 2027 pending regulatory approvals. The acquisition lands as eToro navigates a sharp pullback in digital assets, reporting a second-quarter crypto trading loss of $7.2 million and a 30% drop in cryptoasset revenue to $1.35 billion. July crypto trades on the platform fell 73% year-over-year to 1.4 million, while the average amount invested per trade halved to $182. Stronger equity and commodity activity cushioned the blow, lifting overall second-quarter net contribution 9% to $229 million and driving adjusted diluted earnings per share to $0.68, beating analyst expectations. TradeZero generated roughly $80 million in revenue over the twelve months ended June 30, and eToro expects the purchase to be accretive to adjusted earnings per share in its first year post-close.