Israeli startup Cappitech, a RegTech innovator, has been acquired by British-American financial giant, IHS Markit. The companies have yet to reveal the sum of the acquisition, but the Israeli startup has raised only $4 million since founded in 2013. The acquiring company was co-founded by Kevin Gould, who also invested in the Israeli company’s 2018 funding round.
Avoiding fines, and saving money and time
Cappitech’s regulatory compliance platform enables organizations to easily submit regulatory reports, in addition to daily trade analysis, both required by global financial transaction regulations. By leveraging automation tools, financial institutions and executives have no need to preform recurring daily tasks, and can let the system do the leg work for them, adding to the system’s cost saving advantages. Among the startup’s customers we can find, TRAX, Provinzial NordWest, Swissquote, and of course IHS Markit.
Cappitech was founded in 2014 by CEO Ronen Kertis, and employs a team of 40 from the company’s Israeli headquarters. The RegTech innovator completed one $4 million funding round in 2018. The investment was led by 83North and private investors, with Cappitech reporting immense growth over the past two-plus years. Cappitech will continue to operate as a compliance unit under IHS Markit’s financial service umbrella, managing both companies’ regulatory compliance needs.
CEO and co-founder Ronen Kertis noted that "as leading tech providers in the regulatory compliance sphere, we are glad to cooperate with a company dedicated to providing the regulatory compliance solutions..." Kertis adds "I would like to thank the Cappitech team for their significant contribution, innovation, and dedication that led to the milestone."