TreasurySpring, the London-based financial technology company today announced the closing of its latest capital raise, securing £2m of investment in a round that was led by ETFS Capital, with participation from MMC Ventures and existing investors.
The round was more than three times oversubscribed and the company has now raised more than £3.5m since its first external capital injection in November 2017.
TreasurySpring was voted one of the top 3 fintech startups in Europe at the prestigious Money20/20 conference in June 2019, before publicly launching its digital Fixed-Term Fund (FTF) portal in July, following a year of rigorous beta testing. It has already issued more than $600m of FTFs to clients from multiple sectors.
The firm was co-founded in 2016 by long-term business partners Kevin Cook (CEO), Matthew Longhurst (COO) and James Skillen (CTO) to unlock the multi-trillion dollar wholesale money markets by providing new digital pipelines to connect cash-rich firms to institutional borrowers from the sovereign, bank and corporate sectors.
FTFs enable all holders of large cash balances, from corporates to charities, private funds to insurance companies, family offices to private banks and beyond, to reduce and diversify risk on those balances, whilst simultaneously increasing returns. For investment-grade firms seeking financing, TreasurySpring’s FTF platform provides flexible, low-cost access to a diverse universe of new short-term funding sources.
Proceeds from the financing round will be invested in the development of the platform’s core technology and the expansion of TreasurySpring’s sales, technology and operations teams to meet the growing demand for FTFs.
Graham Tuckwell, Chairman, ETFS Capital, said: “We see many analogies between what TreasurySpring is building in the cash management space and the very successful business that we built over the last 15 years in the exchange-traded products market. They have developed a simple, unique and powerful way to offer access to a huge, desirable segment of the market that is currently unavailable to most institutions. We are delighted to have this opportunity to invest, as well as to increase our use of the platform. The ETFS Capital team is looking forward to supporting the team with more than just capital as they continue to grow their business.”
Kevin Cook, Co-founder and CEO, TreasurySpring, said: “We are delighted to welcome our new investors ETFS Capital and MMC Ventures. Their capital injections, together with the funds that we have raised from more than 40 senior financial markets professionals over the last two years, put us in a really strong position to accelerate our growth by further building our team, our public presence and our product offering. We are grateful for the financial and non-financial support from all of our investors and we are excited about what we can achieve with the proceeds of this funding round over the next couple of years.”
Alex Schmid, Managing Partner, ESO Capital, added: “We were the first external investor in TreasurySpring because we saw the huge opportunity that Kevin and the team had identified and strongly believed in their ability to deliver on their vision. Over the last two years they have achieved everything that they set out to do and more, so we were very comfortable following on from our initial investment for a second time. As a client of the platform, we have seen first-hand the value that it can bring in reducing the risk and simultaneously increasing the returns that we earn on our surplus cash.”