Regulatory technology provider Cappitech has raised $4 million in a Series A financing round. The company will use the proceeds to expand its business and deliver new products to its clients. The financing round was led by 83North with participation from Rony Grushka and Kevin Gould, which are co-founders of financial information giant Markit.
As part of the deal, Rony Grushka will be joining Cappitech’s board of directors. He is already on the board of Fintech startup Algomi. The series A finding round compliments the business development goals of a company that so far has been self-funding its operations.
“This significant investment, combined with the experience and insight which our board brings to the business, will enable us to accelerate our plans and take the business to the next level. It will enable us to extend our global reach and add even more functionality to our platform, quickly meeting the growing demands of the market and bringing further value to our customers,” said the Founder and CEO at Cappitech, Ronen Kertis.
To stay current with the ever-increasing regulatory needs of financial services companies, Cappitech is going to invest in the development of an AI-based product. The main focus of the new solution is business intelligence and big data analytics.
Cappitech is also committing to invest further in its sales and marketing effort alongside with marketing. The regulatory technology provider particularly aims at expanding its European presence, as demand for products that are alleviating the load from the new regulatory frameworks increases materially.
New Board Hire
Cappitech’s funding round stands out as the company attracts top talent to its team. The new board member of the firm, Rony Grushka, said, “Financial institutions need highly sophisticated, easy to use tools to help with their regulatory reporting and regulatory insight.”
The increasingly stringent regulatory requirements are prompting firms to adopt new technology. With his solid experience as CFO of Markit and non-executive board member of Algomi, Grushka is a valuable addition to Cappitech executive management team.