Fidelity Investments has acquired Shoobx, which provides automated equity management operations and financing software for private companies, for an undisclosed amount.

Shoobx will join Fidelity’s Stock Plan Services business, which provides equity compensation plan recordkeeping and administration services to around 700 companies.

The two companies first formed a partnership in 2021 to provide an equity management solution for the private market combining their products and expertise.

Fidelity said the acquisition will allow it help companies to manage equity ownership and market capitalisation, as well as maintain the calculation of their market value.

The partnership said it enable the automated creation of due diligence documents, data modelling capabilities, and a secure data room to share confidential business information.

Other tools include stockholder and board management tools and educational schemes for shareholders.

Commenting on the news Kevin Barry, head of Fidelity workplace investing, said: “Given the success of our commercial relationship with Shoobx and the increasing demand from private companies to support them as they scale and grow, including helping their employees manage their financial well-being, acquiring Shoobx was a natural next step in our relationship.”

He added: “Together, we will accelerate the development of new and innovative solutions designed to help private companies confidently navigate the complex journey all the way through to an exit or IPO.”

Share Story: