Hilbert Group Expands Reach with Acquisition of Digital Asset Manager Liberty Road Capital

Stockholm, November 27, 2024 — In a bold move that signals its ambition to become a global leader in digital asset management, Hilbert Group has announced the acquisition of Liberty Road Capital Ltd (LRC) in an equity-only asset acquisition deal. The transaction will see all of LRC’s assets under management (AUM), client relationships, intellectual property, and key employees seamlessly integrated into Hilbert Group’s expanding portfolio.

This acquisition strengthens Hilbert’s position in the rapidly growing digital asset space, infusing the company with world-class expertise in trading, asset management, artificial intelligence (AI), and operational excellence. The deal brings notable industry leaders, including Russell Thompson, co-founder of LRC, to Hilbert Group, further solidifying the company’s standing as a powerhouse in both traditional and digital asset management.

A Strategic Step Forward for Hilbert Group

For Hilbert Group, this acquisition represents a significant milestone in its mission to become one of the largest digital asset managers globally. Russell Thompson, a renowned figure in hedge fund and digital asset management, joins the team as part of the deal. Thompson’s extensive experience—spanning decades in both traditional finance and crypto markets—includes co-founding LRC as well as The Cambridge Strategy, a traditional hedge fund that reached $3.5 billion in assets before its sale in 2018.

Hilbert Group’s CEO, Niclas Sandström, expressed his excitement about the acquisition, stating:

"This deal is a perfect complement to our existing business. Russell brings unparalleled expertise as a Chief Investment Officer (CIO) and derivatives trader, along with an extensive global network that will accelerate our business development. With LRC’s strengths in derivatives and AI-driven trading, we can now offer a broader range of strategies to our clients. Additionally, the leadership team from LRC—Anna Dinescu, Tom Bowles, and Russell Thompson—bring invaluable operational, technical, and quantitative expertise that will be key in advancing Hilbert’s vision of becoming a global leader in digital asset management."

Merging Expertise in Fiat and Crypto Markets

Russell Thompson, CEO of LRC, also expressed his enthusiasm for the partnership, highlighting the complementary nature of the two companies’ expertise:

"We’re thrilled to join forces with Hilbert Group. This merger combines deep expertise in both fiat and crypto markets, which will allow us to deliver a best-in-class digital asset management experience for our investors. By 2025, I’m confident that Hilbert will be one of the leading names in the digital asset space."

LRC’s co-founder and CTO, Tom Bowles, echoed this sentiment, emphasizing the exciting potential of the combined entity:

"We’re excited to scale our AI-driven trading strategies alongside Hilbert. The shared values, culture, and vision between Liberty Road and Hilbert are perfectly aligned, and we’re looking forward to continuing this journey together as part of the Hilbert team."

What This Means for the Digital Asset Management Space

This strategic acquisition positions Hilbert Group as a formidable player in the digital asset management market, bolstering its capabilities in AI-driven trading strategies, crypto derivatives, and operational excellence. With LRC’s cutting-edge technology and extensive expertise in both traditional and digital markets, Hilbert is well-positioned to drive innovation and capture a larger share of the growing digital asset management sector.

The deal also enhances Hilbert’s ability to offer institutional investors a broader array of investment strategies, including high-performance digital asset trading and risk management solutions. With a renewed focus on AI and data-driven strategies, Hilbert’s offering is set to revolutionize the way digital assets are managed and traded in the institutional space.

Key Terms of the Acquisition

The acquisition deal is structured with an accretive earn-out arrangement. The upfront purchase price consists of 2,727,264 newly issued B-shares in Hilbert Group, representing four percent of the company’s share capital. Additionally, a 50/50 revenue split on LRC’s business will be implemented over the next two years. Liberty Road Capital has also committed to converting all future net earnings under this revenue split into new B-shares in Hilbert Group.

About Liberty Road Capital

Founded in 2019 and headquartered in the British Virgin Islands, Liberty Road Capital is a regulated digital asset management firm focusing on derivatives trading and asset management. With a data-driven approach and proprietary AI technology, LRC has developed institutional-grade strategies for trading and managing digital assets such as Bitcoin (BTC) and Ethereum (ETH). The firm is renowned for its strong risk management practices and high-performance trading infrastructure.

About Hilbert Group

Hilbert Group is a Swedish public company that specializes in quantitative investment strategies for digital asset markets. The company leverages algorithmic trading techniques and a robust operational framework to meet the growing demands of institutional investors. Listed on the Nasdaq First North Growth Market (ticker: HILB B), Hilbert Group is committed to delivering cutting-edge solutions in digital asset management while maintaining the highest standards of governance and risk management.

For more information about Hilbert Group, visit: www.hilbert.group

Contact Information:

Niclas Sandström

CEO, Hilbert Group AB

Phone: +46 (0)8 502 353 00

Email: [email protected]