Portfolio October 17 2019

CrossLend announces €35 million funding round

Santander InnoVentures, Santander Group’s fintech venture capital fund, has announced today it is leading the funding round (Series B) of CrossLend, the Berlin-based pan-European digital debt marketplace. The round also includes funding from existing investors Lakestar, ABN AMRO Ventures, and Earlybird. Founded in 2014, CrossLend provides a digital debt marketplace for consumer, SME, invoices, mortgages and other forms of  debt originated by banks and alternative originators. CrossLend makes the assets available to a wide range of institutional investors, such as banks, investment funds and insurance companies. This allows loan originators to expand their origination capacity and increase income while at the same time it helps to reduce pressure from capital requirements. Institutional investors with the need to invest in fixed-income assets are provided with a broad range of new investable assets in a transferable form. This allows more capital to flow into Europe’s economy and makes the lending and investment ecosystem more efficient, transparent and profitable. Santander InnoVentures, true to its “invest and partner” model, is exploring cooperation alleys with the company, as one basis for the investments were the significant cooperation opportunities. In light of the value-add that CrossLend can provide to banks and asset managers, more institutions are expected to join as equity investors over the next few months. Santander InnoVentures’ investment comes as the European Commission’s capital markets union initiative is set to deliver an action plan by the end of 2019 to provide new sources of funding for businesses, reduce the cost of raising capital, increase options for savers across the EU, facilitate cross-border investment and make the EU financial system more stable, resilient and competitive([1]). CrossLend’s digital debt marketplace infrastructure is closely aligned with core elements of previous EU action plans and already enables pan-European fixed-income investment in the absence of a true capital markets union. Manuel Silva Martínez, partner and head of Investments at Santander InnoVentures, said: “By developing technology that digitises processes done manually today and building a regulatory infrastructure that allows for a truly pan-European platform, CrossLend is addressing several key opportunities: the ability for banks to mobilise balance sheet assets for regulatory capital optimisation, and connecting alternative originators and banks alike with new sources of capital in-market and cross-border, all of this seamlessly and profitably. CrossLend has the opportunity to become an industry standard, interlinking capital markets in Europe and potentially elsewhere as they eye further international expansion. Oliver and his team have the right DNA to execute on this ambitious vision, and I am thrilled to actively support them in shaping it together.” Manuel will join CrossLend’s advisory board. About Santander InnoVentures Santander InnoVentures is Banco Santander’s $200 million corporate venture fund. SIV invests in start-ups in fintech and adjacent areas to accelerate their growth, support great entrepreneurs and teams, and support them with the capital, scale and expertise of the Santander Group. Since launching in 2014, the fund has invested in more than 25 companies, being one of the most active bank-backed fintech corporate venture in the world. Over 70% of the fund’s portfolio companies are now in strategic engagements with Santander. More info: www.santanderinnoventures.com About CrossLend CrossLend is a digital debt marketplace with a mission to make the world’s lending and investment ecosystem more efficient, transparent and profitable. By means of an innovative securitisation solution, CrossLend seamlessly connects originator supply with institutional investor demand, creating beneficial opportunities for both. With lenders empowered to lend more and investors able to deploy their capital more efficiently, liquidity is available to flow where it is needed: a win-win situation for all. CrossLend is backed by an array of prestigious equity investors from Europe and the U.S., including Lakestar, CME Ventures, Earlybird, ABN AMRO’s Digital Impact Fund, solarisBank, finleap, the Luxembourg Future Fund (EIF and SNCI) and now also Santander InnoVentures. CrossLend is working to create a secondary market which, together with its primary market, will further strengthen its efforts to make the capital markets union a reality. More info: www.crosslend.com [1] https://www.consilium.europa.eu/en/policies/capital-markets-union   SOURCE: CROSSLEND

Portfolio October 2 2019

Neuromod Successfully Closes €8 Million Capital Raise

Proceeds to accelerate ongoing European commercialisation, manufacturing scale-up and US regulatory strategy Fountain Healthcare Partners, a major investor, led the financing round with participation from another existing investor, Moffett Investment Holdings Venture-debt investors Kreos Capital and Silicon Valley Bank also participated in the capital raise 26 September 2019, Dublin, Ireland | Neuromod Devices Limited (“Neuromod” or the “Company”), the Irish medical technology company specialising in non-invasive neuromodulation technologies, today announces the closing of an €8 million capital raise, comprised of equity investment and venture-debt. Proceeds from the financing will be used to accelerate ongoing European commercialisation of the Company’s Lenire® tinnitus treatment device; to scale-up manufacturing capacity to meet anticipated European demand; and to progress the Company’s US regulatory strategy to secure market entry into the United States. This financing round was led by existing investors Fountain Healthcare Partners and Moffett Investment Holdings, with venture-debt provided by new investors Kreos Capital and Silicon Valley Bank. Centre of Excellence in Tinnitus Care and Neuromodulation This investment marks a significant milestone for Neuromod as the Company recently opened its first Centre of Excellence specialising in neuromodulation and tinnitus at the Hermitage Medical Clinic in Dublin. The centre, Neuromod Medical, a wholly-owned subsidiary of Neuromod Devices Limited, offers tinnitus assessments and treatment with the Lenire® tinnitus treatment system, a breakthrough evidence-based, home-use medical device. The first facility to offer treatment with Lenire® outside of Ireland will be in Hannover, Germany which will be opened before the end of 2019. Additional locations throughout Europe have been identified and will become operational during the course of 2020. Lenire® Tinnitus Treatment Lenire® is the first non-invasive bimodal neuromodulation tinnitus treatment shown to soothe and relieve tinnitus. Lenire® has CE-mark certification for the treatment of tinnitus under the supervision of an appropriately qualified healthcare professional in Europe. Dr. Ross O’Neill, CEO of Neuromod commented: “We are very pleased to have Kreos Capital and Silicon Valley Bank join our existing investors Fountain Healthcare Partners and Moffett Investment Holdings. This investment will allow us to ramp-up the manufacturing of our Lenire® tinnitus treatment product, ensuring it will be more widely available for many underserved patients suffering with tinnitus across Europe. We will also build on European commercialisation through a regulatory submission to the FDA to make way for a launch in the United States”. Cian O’Driscoll from Kreos Capital commented: “Neuromod is an exceptional business with a unique technology and product. We are excited to be working with them to fund their expansion across Europe and the United States. It is estimated that 150 million people suffer with chronic tinnitus globally and we believe Lenire® offers an important breakthrough to address this large unmet medical need”. Clive Lennox from Silicon Valley Bank commented: “We are delighted to join Fountain Healthcare and Moffett Investments to support the growth of Neuromod Devices. Neuromod are yet another example of Ireland’s innovative life-science companies and we look forward to helping them bring their Lenire® tinnitus treatment to the millions of sufferers across Europe and the US SOURCE: NEUROMOD

Portfolio October 1 2019

MDxHealth Successfully Completes a EUR 9.0 Million Capital Increase

  IRVINE, CA, and HERSTAL, BELGIUM – 27 September 2019 – MDxHealth SA (Euronext Brussels: MDXH) (the "Company" or "MDxHealth"), a commercial-stage innovative molecular diagnostics company, announces the successful pricing of its capital increase with the offering of new ordinary shares. The Company raised EUR 9.0 million (USD 9.8 million)(1) in gross proceeds by means of a private placement of 10,589,236 new shares at an issue price of EUR 0.85 per share through an accelerated bookbuilding (the "Capital Increase"). Michael McGarrity, CEO of MDxHealth, said: "We are pleased to have secured additional funding from a mix of new and existing investors, demonstrating confidence in our ability to realize the Company's growth potential by delivering on several clearly identified value drivers. We firmly believe that clear strategic focus, continued disciplined operating expense management and experience-based execution in these areas of focus will drive future revenue growth." The Capital Increase is in addition to a loan agreement that was entered into with Kreos Capital for an available amount equal to the gross amount raised by the Capital Increase, but with a maximum of EUR 9 million, that can be drawn until 1 November 2019 (the "Debt Financing"). The net proceeds of the Capital Increase and Debt Financing will be used mainly to support the Company's stated strategy to grow the business by expanding the adoption of the Company's commercial test menu with urologists and payors, as well as for general corporate purposes. The payment and delivery of the new shares to be issued in the Capital Increase is expected to take place on 1 October 2019. The new shares to be issued will have the same rights and benefits as, and rank pari passu in all respects with, the existing and outstanding shares of MDxHealth at the moment of their issuance and will be entitled to distributions in respect of which the relevant record date or due date falls on or after the date of issue of the new shares. As a result of the issuance of new shares, the Company's share capital will increase from EUR 47,813,068.45 to EUR 56,260,102.01 and its issued and outstanding shares will increase from 59,939,289 to 70,528,525 ordinary shares, representing an increase of the share capital and number of shares of 17.7%. In the context of the Capital Increase, MDxHealth has agreed to a market customary 180 day lock-up period, subject to common exemptions. Kempen acted as Sole Bookrunner for the Capital Increase. _____ Note: (1) Based on the conversion rate of EUR 1.00 = USD 1.0938 as at 26 September 2019. MDxHealth is a multinational healthcare company that provides actionable molecular diagnostic information to personalize the diagnosis and treatment of cancer. The Company's tests are based on proprietary genetic, epigenetic (methylation) and other molecular technologies and assist physicians with the diagnosis of urologic cancers, prognosis of recurrence risk, and prediction of response to a specific therapy. The Company's European headquarters are in Herstal, Belgium, with laboratory operations in Nijmegen, The Netherlands, and US headquarters and laboratory operations based in Irvine, California. For more information, visit mdxhealth.com and follow us on social media at: twitter, facebook  and linkedin. SOURCE: MDX PHOTO: MDX

Portfolio September 11 2019

Zero-commission investment app, BUX Zero, begins its European rollout

  BUX Zero will empower the mobile generation to do more with their money by investing in companies and industries they believe in, all with zero-commission. AMSTERDAM, NL, September 11, 2019 - Today, BUX Zero officially launches to waitlisted users in the Netherlands, signaling the beginning of its broader European launch. The app is meant for both the experienced investor as well as those new to the world of finance. With the launch of BUX Zero, BUX continues its mission to open the financial markets to all by creating apps that make it easy for people to do more with their money. “Today, we are proud to invite our Dutch users to be the first to experience BUX Zero.” said Nick Bortot, BUX Founder and CEO. “Since 2014, we have made it our mission to make the world of finance a more approachable, accessible place for more than 2 million users across Europe. Our experience in building engaging mobile apps, along with our background in operating across Europe has allowed us to create a better solution for investing for a whole new community of digital natives.”   Navigating Europe’s changing investment landscape With a generation of Millennials entering their prime earning years, investing in Europe is no longer a ‘nice-to-have’ but rather a necessity. According to a 2019 ING International Survey, 61% of Europeans are worried about funding their retirement, with 54% expecting that they'll need to keep earning after retiring. Many in this generation will no longer be able to rely solely on more traditional safety nets, like pensions. While Europe does not share a similar investment culture with the U.S., the introduction of zero-commission investing, coupled with intuitive apps, like BUX Zero, will empower more Europeans to take their financial futures into their own hands. The same ING survey found that almost half of Europeans agree that that investing their savings is a good way to build wealth. So how will BUX Zero get more people excited about investing?   Simplifying the complicated The world of finance has long been an overwhelming place for the average person. Many people, put off by the complicated jargon and complex investment strategies, have chosen to ignore the need to invest altogether. BUX Zero will offer a more welcoming experience through an easy-to-navigate app where exploring investments and your performance are effortless.   Saving users’ money For those who may not have a great deal of wealth, commissions can add up quickly, and eat into profit. By charging no commission, BUX Zero allows more people to take part in investing. In addition to saving on commissions, it also makes it possible for users to invest small amounts, which ultimately gives everyone the chance to invest in the brands they know and love - brands that might otherwise be out of reach.   Bringing you closer to the brands you care about BUX Zero will make it easy for users to find brands and companies that they care about in a few simple taps. Unlike previous generations, today’s consumers put their money behind brands and companies that align with their interests and values. A 2018 global survey by Accenture showed that over half of consumers in the UK want companies to take a stand on issues such as sustainability, transparency and employment practices. Nearly 75% of Gen Z consumers are driving this trend. Whether it’s green energy, the sharing economy or companies with female leadership, BUX Zero’s smart search connects users to the brands that are aligned with their values.   Becoming Europe’s go-to neobroker BUX Zero will be one of the few exclusive apps in Europe to be powered by its own back-end broker. This system was built from scratch and is one of the first to be built from the ground up in more than 10 years in continental Europe. “It has taken some time, but we have built a full-fledged stockbroker while simultaneously building the BUX Zero app.” Said Nick Bortot. “Having this full stack back-end gives us a tremendous amount of flexibility because we aren't tied to a third party's legacy system. It makes our operations incredibly cost-efficient, so we can offer zero-commission investing. We can also easily offer innovative features, like fractional stock ownership in the future.” BUX Zero will soon be available to users across Europe. Without the need to secure a third-party back-end brokerage partner in multiple countries, BUX Zero will be able to efficiently launch across multiple countries in Europe. "BUX’s keen understanding of the needs of the mobile generation, coupled with a powerful, in-house back-end brokerage positions them to take a leading role in the changing European investment landscape.” Barbod Namini, Partner, HV Ventures.   With BUX, everyone can now invest commission-free BUX Zero currently offers Market Orders and Limit Orders. Both order types are available commission-free until the end of this year. Next year, BUX Zero will introduce a third order type, the "Basic Order", which will be commission-free forever. When users select this option, their orders will be executed at a fixed time, once a day.   With the introduction of Basic Orders, BUX will start charging the rates below for other order types:   Basic Order: Free Market Order: €1 Limit Order: €2   This will ensure that BUX Zero offers all users at least one order type to invest commission-free now and in the future.   In parallel, BUX will also introduce a subscription plan. Users will have the option of paying a fixed monthly fee to get access to unlimited commission-free Market, Limit and Basic Orders. The subscription fee will be lower than the commission of a single transaction at a traditional online broker.   (Details of the subscription, including the price, are currently being tested among user groups and will be published as soon as the plan is made available.)   BUX receives no payment for order flow from market participants and providers of financial products. Orders are sent to a "smart order router", which forwards them to the place where they are executed according to best execution principles.   Sign-up and availability BUX Zero will begin onboarding users who are on the waitlist and will be progressively onboarding users over the course of the coming weeks. Following today’s launch in the Netherlands, BUX will then subsequently roll out to users in Germany and Austria.   About BUX BUX makes it easy and affordable for Europeans to do more with their money. Since launching in 2014, BUX has made the markets accessible for more than 2 million users across 9 countries in Europe. It’s first app, BUX X, offers short-term, leveraged trading, all powered by a vibrant ‘in app’ community. With the introduction of BUX Zero, BUX is bringing commission-free investing to all, allowing users to invest in the brands and companies they care about through an intuitive, easy-to-use app. BUX Zero is currently available in the Netherlands and will be launching in Germany and Austria shortly after, followed by a broader rollout across Europe in 2020. Headquartered in Amsterdam, the Netherlands, the company is backed by Holtzbrinck Ventures, Velocity Capital, Finch Capital and Initial Capital.