InvestCloud recapitalizes at $1 billion; integrates two new businesses

By Megha Bhattacharya

InvestCloud today has completed a recapitalization that values the business at $1 billion. The company stated that new financial investors are led by Motive Partners with Clearlake Capital Group, L.P. and include other InvestCloud client shareholders. Motive Partners will also contribute two portfolio businesses, Finantix and Tegra118, into InvestCloud in a bid to create a global Software-as-a-Service (“SaaS”) wealth solutions platform.

“The recapitalization achieves our first objective,” said John Wise, InvestCloud’s Co-founder and Chief Executive Officer. “At a valuation of $1 billion, we can reward early investors in the business, while injecting new capital to fuel the next stage of our growth, further supporting our clients’ needs. Crucial to our ultimate objective – which is to build the world’s largest financial supermarket – is the partnership with Rob and the Motive team, Clearlake and the Tegra118 and Finantix businesses. Together with Cheryl, Christine and their exceptional teams, they enable us to accelerate our plans to build platforms serving the main markets in global wealth and asset management, each utilizing the proven SaaS design principles, architecture and data models of the InvestCloud platform.”

According to InvestCloud, the recapitalization will allow it to serve clients via four distinct market opportunities including Wealth Advisor Platform, Private Banking Platform, Financial Supermarket and Custom Financial Platform. Cheryl Nash of Tegra118 will become the CEO of the Financial Supermarket division and Christine Mar Ciriani of Finantix will become the CEO of the Private Banking division. Both will join the global InvestCloud management team reporting to John Wise.

“Huge forces are impacting the wealth sector,” said Rob Heyvaert, Founder and Managing Partner, Motive Partners and Chairman of InvestCloud. “Whether it’s demographics, democratization or disintermediation, the sector will change massively in years ahead. We believe the use of InvestCloud’s cloud technology and platform with our existing assets (Tegra118 and Finantix) will determine the winners. This investment, and the commitment of two of our existing businesses and their exceptional talent, creates a global wealth platform provider that has proven technology with the ability to scale and serve the needs of our global clients and their customers through existing, new and hyper-personalized solutions.”