Olivetree Financial Group Limited ("Olivetree"), an equity brokerage and technology firm, today announces that Elcot Capital Management Limited, ("Elcot Capital"), a privately owned investment management firm has made a strategic investment in the company to support the next phase of its growth.
The transaction, which remains subject to FSA authorisation, involves The Elcot Fund Limited acquiring a minority stake in Olivetree for an undisclosed sum.
Olivetree will be a significant investment for Elcot Capital, which is headed by Mike Vogel, formerly CEO of Framlington and Prolific.
Elcot Capital has extensive experience of investing in the securities and asset management sectors and has been committed for some time to identifying the right opportunity to leverage the rapidly changing dynamics at play in this industry.
Elcot Capital's investment will enable Olivetree to further develop its unique offering, which combines portfolio construction advice, event and catalyst driven research / high touch execution with state of the art quantitative tools to help capture and maximise alpha.
Following the launch of Olivetree Securities in 2009, the company has rapidly grown into a leading international equities intermediary brokerage and now works with a focused list of institutional clients across Europe, the US and Asia.
The company has since evolved to meet client needs and in 2011, it formed Olivetree Solutions to provide independent quant analytics and consultancy services to select Olivetree Securities clients. Olivetree Solutions works directly with traders and portfolio managers to help manage trading risk, reduce transaction costs and enhance portfolio construction. Its flagship OTAS platform is a unique suite of content and tools that provides traders and portfolio managers with unparalleled insight into the risks and signals relevant to them.
In light of these developments, the company has established Olivetree Financial Group as its holding company, with Olivetree Solutions and Olivetree Securities as complementary subsidiaries.
Daryn Kutner, Chairman and CEO of Olivetree Financial Group said: "We are delighted by Elcot Capital's decision to invest in Olivetree. Over the last three years we have expexpanded our securities brokerage business to encompass a financial technology company and Elcot Capital's investment will support our future growth plans. We look forward to having an investor who shares our ambition and supports our vision."
Mike Vogel, Chairman and CEO, Elcot Capital said: "In Olivetree we have a compelling opportunity to invest in a firm that has developed a unique proposition combining cutting edge technology with quant expertise and deep analysis of special situations. We look forward to forming a long standing and successful partnership that enables Olivetree to maximise its potential."