Freetrade have got to be in the process of raising a Series C so sort of surprised Seedrs is running this right now.
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So who is the seller surely if they are a round 1 or 2 investor they are on this forum. Congratulations hopefully the sale goes well.
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~ÂŁ600K Iâm guessing that was a ÂŁ10K investment in R2
Pretty good return that
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Yeah very impressive returns with plenty of room for more growth.
As noted by Seedrs, there was an âAngelâ round at ÂŁ0.07 so it seems likely if theyâre using the word âAngelâ to describe the investor they would mean that round, so ~ÂŁ600k represents a ~ÂŁ4k investment in that round, and âsome liquidityâ implies they hold more shares. If they are an angel investor who invested >ÂŁ4k in the angel round, they initially owned around 5% of the company.
During 2016, Freetrade subdivided shares (1 â 1000) so whoever this is probably purchased ~50,000 shares and ended up with 5,000,000 in late 2016. If we look at who the shareholders were at that time, thereâs a very small number of candidates. I wonât speculate though, but itâs probably easy enough to guess who it is selling them.
edit: I think I did the math wrong, fixed.
edit edit: wait maybe I still did it wrong. If that math is right then theyâd be selling ÂŁ600k of a ÂŁ50m share holding, but nobody would do that. I have debunked my own theory. I think. Maybe. Maybe someone else can do better logic than me.
edit edit edit: theyâre âB Investment Sharesâ which were issued starting from the first crowdfunding round, angel round shares were âOrdinaryâ (now âOrdinary Aâ) so it must have been the first crowdfunding at the earliest. I am indeed dumb. Iâll leave this post here as a monument to my bad brain.
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Good effort, but here are some corrections:
First valuation was ÂŁ1.9m, so certainly not 5%.
Share split would have been before crowdfunding round, so ÂŁ4k would have been around 50,000 shares and still would be.
A shares were available in the first crowdfunding round for investments over ÂŁ3k. A shares now need to be converted to B shares if you want to sell them, so noting that they are B shares, wouldnât give any indication of which round they are from.
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Thatâs not right, as it was only ÂŁ4M in R2 when I invested
Edit: It was ÂŁ1.9M pre money in R1, just checked on crowdcube. Thatâs why the returns are so great, because it started off reasonable. nowadays crowdfunding companies want to start with a pre money of ÂŁ100M 
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You are right, sorry, missed the decimal point. Edited. But still wouldnât have lead to a 5% holding with just 4k investment.
Sorry for the confusion. Iâm referring to the very first fundraise, the Angel round. If someone invested ÂŁ4,000 in the first round, they would have held 5% 2.5% of all shares because the valuation was ~ÂŁ200k. However, I just realised you might not be able to see the whole Seedrs page, so for clarity, this is what I was basing my information on:
Hereâs the full Seedrs information for anyone curious (you may need to right click > open image to see the information at full resolution) which includes the round valuations etc.
Main page:
Key information:
The due diligence page is just links to Freetrade website + articles so I didnât screenshot.
The subdivision of shares happened before the first crowdfunding round but after the angel round.
Ok, I see now, thanks for clarifying.
I wonder if they are using âAngelâ Investor and âAngelâ round consistently, in which case it would be limited to a small handful.
So wouldnât this be a member of staff from back in 2016 then selling some or all of there shares. Was the angel round open to the general public.
This could be embarrassing for FT if it doesnât sell out at the old price.
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Yep - most likely a co-founder who according to companies house still has a large number of B shares and has been selling recently. See page 88. application-pdf
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Itâs just an early Crowdcube investor. You are all reading too much in to it.
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Anyone going to buy any?
To be honest I am surprised any have sold, not because of Freetrade but because the Seedrs website is a shambles, I canât even find the Freetrade sale from the Seedrs site I had to navigate to it using the link in this thread!
There isnât a search function that I can see. I even clicked follow - but canât see a list of the companies I am following!
This is putting me off Seedrs.
I think it was meant to be invite only and the campaign page says âPrivate Dealâ. That might explain why you canât easily find it on their website.
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I may buy the minimum just to stay in the loop on the updates that Seedrs may or may not provide. But that is also because I am already over exposed
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Itâs not open to the public yet - itâs only open to those who pre registered - thatâs why. Just as Crowdcube open Freetrade to certain groups before going live to the public.
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This makes sense, thank you.
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