Liquid Stock (“Liquid”) today announced the launch of a fully independent, institutionally backed firm providing liquidity to employees and stockholders of privately held companies. This strategy will align the interests of employees and shareholders by converting option holders into owners, providing companies with an alternative to tender offers and offering employees and shareholders full value for their stock. Liquid’s team brings together a multi-disciplinary approach of leaders in liquidity solutions, venture capital and private equity investing, to provide liquidity to individual counterparties. Liquid is well-positioned to become the leading source of capital for private companies looking to provide liquidity to their employees through tax efficient, company-wide share purchase programs.
Funds managed by Goldman Sachs Asset Management, Morgan Stanley AIP and Coller Capital have entered into a strategic relationship with Liquid, making substantial capital commitments to Liquid’s fund.
Robert Pitti, Founding Partner of Liquid commented, “Our team brings a long history with a strong track record of collaboratively solving the challenges faced by private companies and their employees, as well as a strong understanding of their businesses. Our strategic investors provide Liquid the ability to scale immediately to meet the needs of even the largest private companies, as well as a deep understanding of the global markets.”
Harold Hope, Managing Director and Global Head of Goldman Sachs Asset Management’s Vintage Funds commented, “Liquid’s depth of experience, diversity of skills and quality of team uniquely positions them as the liquidity provider of choice for employees and stockholders of privately held companies. As venture-backed companies are staying private for longer, we believe the Liquid offering provides an important liquidity tool for these stakeholders.”
Jeremy Coller, Chief Investment Officer of Coller Capital, said, “This is an innovative product that enhances liquidity options for those who work and invest in privately held businesses. We’re pleased to be partnering with Liquid in this exciting development.”