The end of April saw a flurry of funding rounds. Most were closed by companies providing regulatory tools and services to the financial industry. In addition, the Finastra network landed two big contracts.
Empyrean Solutions Secures $74 Million in Growth Financing
The Woburn, Mass., fintech developer Empyrean Solutions has signed a growth financing round of $74 million. It was led by Spectrum Equity and joined by Information Venture Partners.
The company combines asset management, customer analytics, and risk and compliance assessments in a single platform. Launched in 2010, the company has grown annual revenue by 300 percent over the past three years and is now turning a profit. The company says it plans to use the funding to continue to improve its products.
Finastra Members Will Digitize Trading for the Bank of Africa and Handle Cross-Border Payments for Mizrahi-Tehafot Bank
London fintech conglomerate Finastra this week announced two contracts recently secured by its network. Bank of Africa, which operates across 18 countries on the continent, chose Contend TRADE AI to bring various exchange processes online. The Contend system reads scanned documents and combines the information with existing digital databases as part of a global compliance and AML solution.
Another Finastra member, Fusion Payments to Go, was selected by the Israeli Mizrahi-Tehafot Bank to deliver domestic and cross-border payments.
“The payments landscape is accelerating at a quicker pace than ever before and payments is now a strategic pillar for our business,” said Mizrahi-Tehafot Head of Delivery Channels Applications Dud Avni, in a statement. “Until now, we have been using in-house solutions for processing payments. Both retail and corporate clients are increasingly demanding a more seamless payment experience and a broader set of payment options.”
Blockchain Developer Securrency Lands $30 Million Series B
Based in Washington, D.C., Securrency develops a decentralized system for banks and credit unions that can be used to create, manage and distribute digital assets (“virtually any type of financial instrument in digital form,” its site claims). The company says it also automates compliance across jurisdictions while maintaining a library of APIs to connect services with various end users (investors, brokers, transfer agents, asset managers). The company announced it raised a $30 million Series B on April 26.
We are thrilled to announce our successful Series B raise of $30M with world-class financial institutions @WisdomTreeETF’s @StateStreet, @USBank, and @Catalystuae, – a significant milestone for @Securrency!https://t.co/thYMQpRskb pic.twitter.com/ONOObkaOjh
— Securrency (@Securrency) April 26, 2021
The round saw participation from WisdomTree Investments, State Street, Abu Dhabi Catalyst Partners and US Bank. WisdomTree led Securrency’s $17.65 million Series A, which closed just over a year ago.
“We have focused from our inception on financial logistics and have created a truly institutional-grade financial services ecosystem centered on automated compliance to support the issuance, exchange, administration and servicing of digital assets,” said co-founder and CEO Dan Doney, in a statement.
Signal Advisors Announces $10 Million Series A
Signal Advisors, which develops a life insurance and annuity distribution platform, announced a $10 million Series A on April 26. Led by General Catalyst, the round brings the company’s total funding to $16 million. The company plans to use the funds to continue to develop its platform and extend services beyond annuities.
Signal’s product handles various nuts and bolts of annuity operations, including policy management, commission and licensing and contracting.
“We’ve seen a lot of capital investment in technologies that promise to replace financial advisors. But the bigger opportunity, by far, is to build technology that empowers advisors,” says Robert Mylod, managing partner of Annox Capital, in a statement. Annox Capital participated in the funding round.
ALT/AVE Takes In £535K in Seed Funding
London-based ALT/AVE says its goal is to reduce the amount of paper used by financial institutions. The company’s communication service, docStribute, is blockchain-based and lets companies digitize a range of regulated paper documents while mitigating non-compliance. ALT/AVE announced it had raised £535K in seed funding on April 27.
In Other RegTech News
Broadridge and FundApps announce integration. The former offers portfolio management software while the latter develops compliance monitoring and reporting services. The two companies announced an integration on April 26.
Speakerbus launches compliance and communication platform CADENCE. The U.K. fintech communications developer Speakerbus has a new product, called CADENCE, designed for trading teams.
Fabriik hires FSA vet Sam Azad as chief compliance officer. The Toronto-based trading platform developer Fabriik has brought on Sam Azad as CCO. Azad comes to Fabriik with experience at the U.K.’s Financial Services Authority, JP Morgan, KPMG and more.
ComplyAdvantage announces ComplyLaunch. The company’s new digital AML and KYC tools target Fintech startups and currently are offered at no charge.