Anti-money laundering compliance technology developer Hummingbird RegTech has scored $8.2m in its Series A round.
The capital infusion was led by Flourish Ventures, with commitments also coming from Homebrew, Designer Fund, TTV Capital and a handful of angel investors.
With the burst of funds, the RegTech platform will improve the quality and speed of communication among institutions and leverage structured datasets. Capital will also be used to expand into new practice areas, including transaction disputes and consumer protections.
Furthermore, the company is hoping to continue operational growth, enter the European market, with the UK and Ireland its first targets.
The company offers two main products, a case management, investigation and reporting platform for AML, and an API for validating and filing regulatory reports. These tools can lower costs, improve accuracy and automate financial compliance programmes.
Hummingbird claims to have boosted efficiency gains of 80% to 90% in financial services providers’ workflows for investigating and reporting suspicious financial activity.
Flourish Ventures director Kabir Kumar said, “We invested in Hummingbird since its inception because it is a business at the intersection of two important trends accelerated by the pandemic – finance embedded in all our digital experiences and the digitization of regulation.
“The Hummingbird team cracked the code for automation in AML where others have struggled.”
With the round close, the RegTech company has raised a total of $11.8m. Its former investment was a $3m round from Homebrew Omidyar Network, TTV and Designer Fund, back in 2018.
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