AUS
NZ
UK
CA
USA
IND
Summary
- UK-based fintech startup ComplyAdvantage reported a US$ 20 million investment as part of its series C funding round extension from Goldman Sachs’ growth equity arm on 19 May
- The investment will be used to further expand and consolidate the fintech company’s role in managing financial crime risks for major organizations
- This is Goldman Sachs’ second investment into UK fintech, having previously invested £50 million into Sterling Bank’s series D funding round in April.
UK-based fintech company ComplyAdvantage announced a new investment worth up to US$ 20 million from the Growth Equity Team of US-based Goldman Sachs Asset Management.
The investment is an extension of the fintech company’s oversubscribed series C funding round from US$ 50 million announced in July last year to US$ 70 million, with Goldman Sachs’ (NYSE:GS) growth equity arm being added as the only new investor. The Goldman Sachs Group’s shares closed down by 1.70 per cent at USD 358.38 on 19 May.
ComplyAdvantage is a global data technology company using artificial intelligence to track financial crimes across networks for businesses. Its other investors include one of the world’s largest institutional investors with assets under management of over US$ 155 billion, pension fund company the Ontario Teachers’ Pension Plan Board, European venture capital firm Index Ventures and UK-based tech venture capital company Balderton Capital.
Also Read: The Fintech Sector and Its Growing Importance in The United Kingdom
Growth plans
The fintech startup aims to use this new round of investment to further accelerate its rapid growth and consolidate its position as a key component in managing risks for businesses across anti money laundering (AML), know your customer (KYC) processes and other forms of financial crime.
The company also launched a new early stage AML program targeted towards growth focused startups called ComplyLaunch recently, offering AML and KYC services. Trustshare, escrow payments startup, and Juno, a payment platform integration solutions company, were among the first new startups to join the new initiative.
ComplyAdvantage’s CEO and founder Charles Delingpole said innovation in financial services would drive business transformation, adding that companies require anti-money laundering and risk solutions at a massive scale as a deterrent to financial crime.
Goldman Sachs’ focus on UK fintech
This is the US based investment banking giant’s second investment in the UK fintech space. Goldman Sachs recently invested up to £50 million into Sterling Bank, a UK based digital challenger bank focused on commercial and business account products, in April.
The investment was an extension of Starling’s £272 million oversubscribed series D funding round announced in March earlier this year. The total amount of funding in the series D round was thus raised up to £322 million, with the transaction subject to regulatory approval.
The financial services company also plans to launch a Marcus branded automated investment manager in the UK in early 2022, according to a Reuters report.
Also Read: Fintech Drives The Banking Sector: Barclays Employs Third Tech Tool
