Ex EBS-BrokerTec Head Raises $29m in a Bid to Disrupt FX Market

Capital market technology providing firm Capitolis has raised $29 million in two fundraising rounds, the company announced today.

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In the seed capital raising round, which was led by Sequoia Capital, the firm raised $9 million, followed by a Series A round in which the firms managed to gather $20 million in investments. Dual headquartered (San Francisco and London) venture capital firm Index Ventures led the Series A round.

Capitolis was founded in 2017 by the former CEO of EBS BrokerTec Gil Mandelzis, along with Tom Glocer, former CEO of Thomson Reuters, and Igor Teleshevsky, formerly Executive VP and Head of Technology at Traiana.

Mentioning the firm’s current prospects, Mr. Mandelzis said: “We believe there is a significant and untapped opportunity to better distribute capital through the system which can be unlocked by the appropriate products, skills, experience and focus that Capitolis brings. We have seen a very positive response from our partner banks, institutional investors and clients who understand the benefits of the approach that we are leading. And we have assembled an extraordinarily capable team with a range of skills and talents to help achieve this.”

"Sequoia Capital and Index Ventures have been supportive partners who work with ambitious entrepreneurs, understand technology disruption and most importantly our vision. We’re grateful for their investment which will enable us to further develop our product offering and strengthen our resources to take Capitolis to the next stage in its strategic ambition,” he added.

Capitolis is aiming to disrupt the capital market with its products and services, which the firm is developing keeping current technological constraints in mind, especially in equities and Forex Forex Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Read this Term. The firm is planning to bring its products to the market in late 2018.

Capitolis’ Executive Chairman, Tom Glocer, said: “In my long experience in financial markets it is rare to find a company that solves both a focused set of complex capital markets problems and at the same time presents a substantial long-term growth opportunity. We have assembled an exceptional team who bring the perfect capital markets, technology, and Startup Startup A company operating within its first stage of investing is known as a startup. While startups may give the impression that the company must be new, that is not always the case.Many companies can have this designation after nearly three years of existence. Typically, a company exits the startup status after a period between 3 to 5 years or after successful funding rounds where capital is acquired. Startups tend to derive out of the belief that there is a demand for a service or product which is c A company operating within its first stage of investing is known as a startup. While startups may give the impression that the company must be new, that is not always the case.Many companies can have this designation after nearly three years of existence. Typically, a company exits the startup status after a period between 3 to 5 years or after successful funding rounds where capital is acquired. Startups tend to derive out of the belief that there is a demand for a service or product which is c Read this Term experience to deliver on this ambition.”

Capitolis currently has a team of 25 members spread across three cities - New York, London, and Tel Aviv - and the management team includes experienced professionals from financial institutions like Credit Suisse, Bank of America Merrill Lynch, and Morgan Stanley.

Jan Hammer, a partner at Index Ventures, commented: “Capitolis has a bold vision, rethinking the way markets operate. Capitolis has the potential to have a lasting positive impact on the capital markets, increasing the availability of financing while reducing the associated cost.”

“Gil is the type of founder who can transform industries, and we're thrilled to be in business with him again. We believe Gil's vision for Capitolis can reshape the capital markets and unlock huge potential,” said Haim Sadger, a partner at Sequoia Capital and Capitolis board member.