Novogratz’s Galaxy Gets $350 Million for Startup Investing

(Bloomberg) -- Mike Novogratz’s Galaxy Digital Holdings Ltd. said an affiliate raised $325 million for a second fund investing in interactive content, fintech and technology, aiming to tap younger people’s embrace of the digital world.

Video game-makers NetEase Inc. and Ubisoft Entertainment, as well as pension funds, were among those contributing capital, according to a statement and an interview with Galaxy Interactive General Partner Sam Englebardt.

“We have pensions and endowments, we have institutional investors, we have large family offices,” Englebardt said in an interview. “This is really our first big move into a really diverse” base of investors, he added.

The new fund will seek opportunities mainly in video gaming, crypto- and blockchain- related startups. Galaxy Interactive said about $150 million has already been invested in the likes of startup investment platform Republic, developer 1047 Games and music metaverse firm Roar Studios. 

Galaxy Interactive now has $650 million in assets under management. While the first fund invested only in equity in startups, the second will pour up to 15% into tokens, and the rest into equity, Englebardt said.

Galaxy Digital had $2.3 billion in assets under management as of Sept. 30. Currently traded in Canada, it is planning to list in the U.S. by year-end.

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