A host of US community banks have rallied around to pump $9.5 million into AI-based, API-driven banking technology supplier Neocova.
Built with community banks in mind, Neocova's cloud-based core platform manages customers, their deposit accounts and loan products.
The round includes investments from community financial institutions such as Bank of St. Elizabeth, Coastal Community Bank, First Financial, Kearny Bank, Provident Bancorp, Inc. and Sunwest Bank.
"We're putting our money where our mouth is to help banks be more successful in serving their customers," says Brice Luetkemeyer, president and CEO of the Bank of St. Elizabeth in Missouri. "We invested in Neocova because their cloud-native, API-backed technology delivers much needed flexibility and efficiencies that banks are not getting today. Also, Neocova has a deep commitment to cybersecurity that puts customer safety and compliance at the forefront."
The firm says it will use the cash injection to expand its product and development teams.
Neocova CEO and co-founder Sultan Meghji, says: "This raise is both a statement of intent by the community banks of the United States that their technology status quo is unacceptable, as well as a tremendous vote of confidence in Neocova from the same community."