US technology company PolySign is to acquire digital fund administrator MG Stover to offer its institutional investor clients a custody and administration offering for cryptocurrency and digital assets. The acquisition is expected to complete in Q2 2022.
The acquisition will accelerate PolySign’s product development plan and will pave the way for future service enhancements focused on institutional investors and asset managers, says the New York-based company.
PolySign is also set to complete its Series C capital raising, adding new investors to its shareholder base, including Soros Fund Management, Brevan Howard, and GSR. Cowen Digital will also add to PolySign’s equity position.
PolySign’s acquisition of MG Stover closely follows PolySign’s developments in 2021, when the company’s wholly-owned subsidiary, Standard Custody & Trust Company, LLC, received its trust charter from the New York Department of Financial Services.
Prior to this, PolySign announced its partnership with Cowen Digital, Cowen Inc.’s digital asset division, which also led PolySign’s US $53 million Series B round of funding.
Cowen and PolySign have since integrated PolySign’s digital banking technology into Cowen’s sales and trading platform.
Matt Stover, founder and CEO of MG Stover, comments: “Joining the PolySign team is going to bolster our core fund administration offering and enable us to develop new capabilities that will shape the way institutions engage in digital assets for years to come.”
Jack McDonald, CEO of PolySign, says: “MG Stover is the ‘go-to’ administration partner for many of the most sophisticated and successful investors in digital assets. Matt Stover is widely regarded as a visionary in our sector, and we are excited to gain his expertise as a shareholder and a core member of our leadership team. I am proud to welcome the entire MG Stover organisation to PolySign.”
