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Forge Global Holdings: Charles Schwab announced on Thursday that it has reached an agreement to acquire Forge Global, a private shares trading platform, in a deal worth about $660 million.
The acquisition highlights Schwab’s push to expand its presence in the fast-growing private markets sector.
The deal comes as major Wall Street firms move to meet increasing investor interest in gaining early access to high-growth startups.
Financial institutions are broadening their offerings to include trading in private company shares and pre-IPO investments, aiming to provide clients with more opportunities to invest before companies go public.
Under the terms of the deal, Forge Global shareholders will receive $45 per share, a price that stands about 72% higher than the company’s last closing value.
The announcement sent Forge Global stock soaring, with shares rising 65% in premarket trading.
The move highlights a broader shift in the market, as many leading startups choose to remain private for longer periods.
Rather than pursuing initial public offerings, these companies are increasingly turning to private funding to raise capital and maintain greater control over their growth.
OpenAI, the creator of ChatGPT, along with Elon Musk’s SpaceX and TikTok owner ByteDance, now boasts valuations that rival or surpass several major S&P 500 companies.
The rapid rise of these private firms is steadily closing the gap in influence between public and private markets.
As investor interest in such fast-growing companies accelerates, financial institutions are stepping up to meet the demand.
Many are developing new ways for clients to invest in private markets and gain a foothold in companies that are reshaping global industries.
Last month, Morgan Stanley revealed plans to purchase EquityZen, a private shares trading platform and a direct competitor to Forge Global.
The move underscores Wall Street’s increasing focus on the expanding private market sector.
Forge Global, which entered the public market in 2021 through a merger with a special purpose acquisition company, has seen its stock climb 87% this year.
The sharp rise came after reports suggested the firm was considering a sale and had drawn interest from several potential buyers.
Forge Global runs a trading platform that has enabled investors to buy and sell more than $17 billion worth of shares in private companies.
Charles Schwab, known for its wealth management, brokerage, banking, and financial advisory services, currently holds a market capitalization of around $170 billion and manages about $11.6 trillion in client assets.
The two companies anticipate completing the transaction during the first half of 2026.
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