Fintech Company Pactio Receives £11 Million Investment
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Pactio is a fintech company located in the UK. It focuses on private equity (PE) and it recently announced that it has secured £11 million in a series A financing round. The company was established in 2021 and delivers deal monitoring and risk mitigation software to private investment firms.
The uptick in interest rates and declining returns from both stocks and fixed-income investment have driven more investors to explore private and alternative investment options including private equity. These investors shifted their focus to those fields in pursuit of higher profits.
The Technological Gap Inspired The Creation Of The Company
The technology framework within the PE industry has typically trailed behind that of other well-established asset classes. It was this technological gap that inspired Pactio Chief Executive Officer Eric Heimark and previous PE investors to establish the company.
Heimark stated that private markets are becoming one of the world’s most complex and largest asset classes. However, this growth is being thwarted by dependence on a tech stack and manual workflows that have been out of date for 30 years. He added that he is worried that the caliber of technology does not align with the complexity of workflows and the skill of the involved parties.
The latest financing round was spearheaded by Swedish EQT Ventures with involvement from Tom Greenwood, the founder of Volt, and previous Stripe Europe Chief Executive Officer Matt Henderson
A partner at EQT Ventures, Tom Mendoza, cited that the amalgamation of Pactio’s early progress with industry leaders, compelling vision for their role as the missing infrastructure base for private capital, and wide-ranging industry and tech knowledge made it a simple decision.
Previous supporters of the firm include former Microsoft strategy lead Charlie Songhurst, the founder of ComplyAdvantage, Charles Delingpole, GoCardless co-founder Matt Robinson, and Monzo co-founder Tom Blomfield.
Pactio Plans To Use The Funds To Expand Its Digital Infrastructure
Pactio’s advanced technology has attracted remarkable interest so far, highlighting its Revolutionary capacity for private markets. The company’s platform has already garnered backing from some of the top professional advisers in the world such as Big 4 tax advisers and leading global law companies, as well as elite private equity entities.
With strong support from both its investor base and its industry network, Pactio will use the funds to broaden the outreach of its digital infrastructure and strengthen its top-tier team. This team consists of previous private markets experts and professional technologists with advanced fintech and machine learning skills.
The company plans to design robust AI enhancements and expand its sole source of truth capability to maintain its position as the leader in private markets technology.
