EquiLend, a prominent global technology, data, and analytics firm within the securities finance industry, has made headlines with its latest corporate move. Welsh, Carson, Anderson & Stowe (WCAS), a distinguished private equity firm, is set to become a pivotal part of EquiLend’s journey, having agreed to acquire a majority stake in the company.
The acquisition, which is anticipated to be finalised in Q2 2024, is subject to regulatory approvals. Marking a significant milestone in the industry, WCAS has also pledged an additional investment of $200m to bolster EquiLend’s organic growth and fund further acquisitions, showcasing a robust vote of confidence in EquiLend’s future prospects and strategic vision.
EquiLend has carved a niche for itself since its inception in 2001, formed by a consortium of global banks and broker-dealers. The company is instrumental in driving technological advancements and creating efficiencies within the securities finance market. Its clientele is extensive and diverse, encompassing nearly 200 asset owners, agency lending banks, broker-dealers, and hedge funds. EquiLend’s comprehensive suite of FinTech solutions spans electronic trading, order management, post-trade automation, data and analytics, as well as RegTech solutions.
EquiLend CEO Brian Lamb expressed enthusiasm about the new partnership, stating, “EquiLend has experienced remarkable growth over our more than two decades of supporting the technological needs of the securities finance market. Our new partnership with Welsh, Carson, Anderson & Stowe will propel our business to new heights and enable us to do more than ever within securities finance and beyond. WCAS shares our client-centric vision and is a natural partner to support our mission of providing outstanding customer service and providing innovative technology solutions to the marketplace.”
Ryan Harper, General Partner at WCAS, mirrored this sentiment, stating, “We are impressed with EquiLend’s highly differentiated suite of technology solutions and its sustained, trusted client relationships. We believe the Company is uniquely positioned to help drive further electronification, efficiency and innovation in its market. We look forward to partnering with the EquiLend team in this next chapter of exciting growth.”
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