The World Gold Council, a market development organisation for the gold industry, and Augmentum Capital, a growth capital fund backed by RIT Capital Partners, have invested in BullionVault, an online gold investment platform.
The World Gold Council and Augmentum have completed a GBP12.5m funding round in the company in exchange for an equity interest.
As equal parties in the transaction, both Tim Levene, partner at Augmentum, and Marcus Grubb, managing director of investment at the World Gold Council, will join the board at BullionVault.
BullionVault, which is based in West London and began operations in 2005, provides investors with an around-the-clock platform to buy and own 100 per cent physical gold via the internet.
BullionVault’s customers can store their gold in secure vaults in London, New York or Zurich, and have the option of taking physical possession.
Grubb says: “The World Gold Council has a proven track record of developing innovative solutions that provide efficient and cost-effective access to physical gold investment. We will work together with BullionVault to further develop the physical gold investment market and to ensure that investors are able to protect their wealth by holding gold.”
Levene adds: “This is an exciting time for Augmentum Capital which specialises only in technology and internet investments. We are delighted to be working alongside the World Gold Council in support of BullionVault. With it being profitable, high growth and a disruptive technology platform, it meets our stringent investment criteria. Given our backing by RIT Capital Partners, the London listed investment trust whose substantial investor is Jacob Rothschild and family, gold is an area of particular interest. We will use this experience and our international network to assist in BullionVault’s continued success.”
Paul Tustain, chief executive officer of BullionVault, adds: "With our dominant position, plus ongoing concerns about the stability of some of the world’s major economies and currencies, we have – unsurprisingly – had a lot of interest from investors. We’re delighted to be working with the World Gold Council and Augmentum, both of whom deeply understand our industry, our objectives, and our customers.”
