Secfi closes $550m as it seeks to deepen its financing products

Secfi, a platform helping employees manage their equity stakes, has raised $550m from Serengeti Asset Management.

With the fresh proceeds, the company will look to expand its financing product and increase its reach.

The company offers an integrated suite of personalized educational, advisory and financing tools which compare different strategies for exercising options. Its tool suite includes tax modelling, equity intelligence dashboards, exit forecasting and exercise reporting.

Furthermore, the company offers financial solutions that help shareholders unlock liquidity from their shares.

A study from Charles Schwab in 2019 found that 76% of employees never exercised or sold their stock options. Nearly half (48%) of those questioned stated the didn’t act, in fear of making a financial mistake.

Secfi pairs clients with in-house advisors to help employees make smarter financial decisions.

Serengeti Asset Management founder and managing partner Jody LaNasa said, “We are excited to be investing in many of the leading, fastest-growing companies in the world by financing their employees and investors through this innovative, tax-efficient structure.

“To date, the primary option for an individual seeking cash for their private stock was to attempt to sell in the secondary market. Now they can retain upside of the stock they own while also getting needed liquidity today. Wouter and the Secfi team have developed a fully integrated solution to this problem and we’re thrilled to be their partners.”

The FinTech company closed its Series A round on $6m following investments from Rucker Park Capital, Social Leverage, Serengeti Asset Management and more.

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