The London Fund, a firm that was set to provide Bolt with $250 million in “marketing credits,” may have exaggerated its prior investing activities, according to Axios’s Dan Primack. This revelation raises concerns about the credibility of the proposed deal, which also involved Bolt investing in The London Fund and its founder, Ryan Breslow, joining the board.
Upon investigating The London Fund, Primack discovered that several companies listed as its portfolio companies did not appear to have any connection to the firm. This discovery is troubling, as it suggests that The London Fund may have misrepresented its previous investments. In response to Primack’s inquiries, Bolt has been removing the questionable investments from its website. The number of portfolio companies displayed on Bolt’s site has decreased from 20 to 13.
The fact that Bolt is now scrubbing its website and removing these investments only adds to the concerns surrounding the proposed funding round. It raises questions about the due diligence conducted by Bolt and its shareholders. Bolt has not yet responded to Axios’s request for comment, and TechCrunch has also reached out for further clarification.
This situation highlights the importance for companies and investors to thoroughly vet potential partners and scrutinize their claimed investments. In an industry where trust and credibility are paramount, it is crucial to ensure that the entities involved are transparent and honest about their activities.
The potential discrepancies in The London Fund’s portfolio raise doubts about the entire proposed transaction between Bolt and the firm. Shareholders will need to carefully consider these concerns before signing off on the funding round. The outcome of this decision will not only impact the future of Bolt but also serve as a reminder of the importance of due diligence in the world of business and investment.