According to CNBC, Charles Schwab just agreed to acquire private shares platform Forge Global in a deal valued at $660 million. The per-share price of $45 represents a massive 72% premium over Forge’s last closing price, sending the company’s stock soaring 65% in premarket trading. This comes just weeks after Morgan Stanley announced its own acquisition of Forge rival EquityZen. Forge went public in 2021 via SPAC and has facilitated over $17 billion in private company share transactions. The deal is expected to close in the first half of 2026, giving Schwab immediate access to the booming private markets space.
The Private Markets Gold Rush
Here’s the thing – we’re witnessing a fundamental shift in how companies grow and where investors put their money. Companies like SpaceX, OpenAI, and ByteDance are staying private for years longer than traditional startups used to. They’re raising billions privately and achieving valuations that rival major public companies. And investors? They’re desperate for a piece of the action before these giants eventually go public.
But accessing these private shares has been notoriously difficult for regular investors. That’s where platforms like Forge come in – they create marketplaces where accredited investors can buy and sell pre-IPO shares. Schwab managing $11.6 trillion in client assets suddenly having direct access to this pipeline? That’s a game-changer for their wealth management clients who’ve been watching from the sidelines.
Why This Deal Matters Now
Look, Schwab isn’t just buying a company – they’re buying an entire capability overnight. Building a private shares marketplace from scratch would take years and require navigating complex regulatory hurdles. For $660 million, they get a platform that’s already processed $17 billion in transactions and has the infrastructure in place.
The timing is fascinating too. We’re in an environment where IPOs have been relatively scarce, and the most exciting tech innovation is happening in private companies. By acquiring Forge, Schwab positions itself as the go-to destination for clients who want exposure to the next big thing before it hits the public markets. It’s basically a strategic move to keep high-net-worth clients from taking their money elsewhere.
And let’s be real – when you’re competing with Morgan Stanley, who just bought EquityZen, you can’t afford to sit this one out. The race to dominate private market access is officially on, and Schwab just made a power move.
