Fintech Globacap secures $21m to automate capital markets

Capital markets fintech Globacap has completed a Series B funding round worth US$21m as it presses forward with its mission of digitising and automating the US$12tn private capital markets.

Based in London, the company’s workflow automation SaaS offering will bring improved efficiency to the private markets – which are continuing to grow despite broader troubles affecting many developed economies.

Indeed, total assets under management (AUM) reached US$11.7tn in 2023 and growth is expected to double over the next five years, according to data and insights company Preqin. Yet they often still rely on laborious, time-consuming and outdated technology that adds weeks or even months to many routine tasks.

Globacap claims to streamline these processes all the way from issuance and ongoing administration through to transferability and settlement of securities, reducing costs and improving efficiency for market intermediaries. Its latest funding comes courtesy of investors such as Moore Strategic Ventures, Cboe Global Markets and the Johannesburg Stock Exchange (JSE), as well as GABI Ventures and investment firm QBN Capital.

Funding ‘validation’ for capital markets fintech Globacap

"Private capital markets are rapidly growing, but their opaque nature is holding them back from reaching their true potential,” explains Myles Milston, Globacap Co-Founder and CEO of Globacap. “We are bringing public markets-like infrastructure to private capital markets to improve access, boost liquidity and remove administrative burdens.

“Securing considerable backing from world-leading investors during a time of market turbulence, risk aversion and uncertainty is powerful validation of our mission to transform and drive efficiency in private capital markets. We’re in a unique position to grow through the current market turmoil, leading with strength as market conditions eventually improve."

Valdene Reddy, Director of Capital Markets at JSE, adds: “The Globacap ecosystem is a vital enabler to our JSE Private Placements business, and our joint relationship has equipped the JSE to drive our diversification strategy in supporting capital formation in private markets. As the JSE, we support Globacap’s next growth phase and we look forward to continued growth that will produce innovative and implementable solutions to address the ever-evolving need of customers.” 

Alex Green, Globacap Co-Founder and CCO, continues: “The completion of our Series B enables us to firmly accelerate our global scaling journey. In recent weeks, we have made experienced hires including new COO Joanna Tibbitt, new CMO Suzanne McLaughlin, and added three new hires to our sales team. We have a strong team; market validation from key clients across exchange groups, securities firms, private equity, and other asset managers; and now validation from our investors, who are some of the world’s largest and most respected institutions.”

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