- G2D Investments is a direct investor in 2TM Group, the parent company of Mercado Bitcoin, which recently secured $200 million (R$ 1 billion) from SoftBank.
- G2D made an investment of R$ 13.6 million in January this year which has now reached over R$ 240 million.
- G2D sold 100% of its position in Coinbase when the brokerage made the IPO on Nasdaq this year, registering a return of over 33 times the initial investment.
- G2D Currently owns 3% stake in Mercado Bitcoin, and confirms that it will continue with the investment expecting accelerated growth in value.
Brazil, July 5, 2021 /AlexaBlockchain/ – G2D Investments, a global investment platform investing in disruptive, high-growth, pre-IPO-stage companies in Brazil, the US and Europe, today announced that its original investment in the Mercado Bitcoin has jumped 19-fold in less than six months.
G2D made an investment of R$ 13.6 million in January this year which has now reached more than R$ 240 million.
What happened? The company is a direct investor in 2TM Group, the parent company of Mercado Bitcoin, which last Thursday announced securing $200 million (R$ 1 billion) from SoftBank.
The entry of heavyweight investor SoftBank has uplifted the valuation of Brazilian cryptocurrency exchange Mercado Bitcoin multifold.
Who is G2D?
G2D was created by GP Investimentos in 2020 and is incorporated in Bermuda, providing perpetual funding to tech companies. It basically operates as a late-stage venture capital (VC) fund, offering investors exposure to VC type investments that are more mature, and thus a few steps closer to their IPOs.
G2D Coinbase Investment is Up 33 Times
G2D also has investment in Coinbase, one of the largest cryptocurrency exchange globally. After the recent Coinbase debut on Nasdaq, G2D received R$31 million after it sold 100% of its position when the brokerage made the IPO on Nasdaq. This equates to a return of more than 33 times the initial investment.
According to Carlos Pessoa, director of investor relations at G2D, the Coinbase and Mercado Bitcoin events represent a gain of more than BRL 270 million in the company’s equity (NAV), which corresponds to an appreciation of more than 61% of the pre-IPO G2D balance sheet. Equity (NAV) per share jumped from R$ 6.35 to R$ 8.94 after the two events.
“Our experience with Coinbase served as an inspiration for investing in the Mercado Bitcoin”, said Carlos Pessoa .
BTG Pactual Initiates Coverage on G2D
Brazilian financial company BTG Pactual has initiated coverage on G2D and cites G2D holding “Interesting asset with quick wins ahead” in its inaugural report.
G2D To Keep Mercado Bitcoin in Its Portfolio
G2D said that it will continue with the investment in Mercado Bitcoin, since the cryptocurrency exchange and digital assets is still in a stage of accelerated growth in value. Therefore, the G2D investor has the opportunity to have the Mercado Bitcoin in the portfolio, even if the company is not listed on the stock exchange.
G2D liquidated its position in Coinbase, but want to continue with the similar other investment based on its market potential. These two cases demonstrate the flexibility of G2D in the face of liquidity events, being able to fully exit and monetize its participation or maintain its position to continue participating in the generation of asset value.
BTG Pactual in its inaugural report mentioned that G2D owns 3% stake in Mercado Bitcoin.