Cloud-based communications company Cloud9 Technologies has bagged $17.5m in a new investment round as it moves to meet the demand for flexibility for financial firms.
The Series B funding round was led by a strategic investment from UBS, with participation from existing investors including J.P. Morgan and Barclays. Both those two also supported Cloud9’s previous Series B round in 2018 that saw the company bag $14m in new capital.
The company has noticed that the demand for flexible remote working tools on and off the trading floor and increasing the adoption of the industry’s only fully cloud-based voice communications solution has grown recently.
“Whether it’s working from an office or from home, traders and financial institutions want optionality and that’s what we’re providing,” said Jerry Starr, Chief Executive Officer at Cloud9. “The transition to a virtual, cloud-based trading floor is accelerating as the industry recognizes the importance of a more flexible and intelligent voice communications model.”
The growing demand is evident in the fact that Cloud9 has seen new business increase by over 50% since March, as it has onboarded several of the world’s top global banks and investment management firms.
Lee Fulmer, global head of Innovation Lab at UBS Investment Bank, will join Cloud9’s board as part of the deal. ”Our decision to invest in and partner with Cloud9 makes sense for many reasons,” said Fulmer. “Not only are we committed to equipping our own traders with tools for seamless and agile communications – even more relevant today during the current COVID-19 crisis – but also because we see many benefits to a cloud-based environment and the data insights that come with it.”
Michael Elanjian, head of digital innovation, corporate and investment bank at J.P. Morgan, added, “We have been strong supporters in Cloud9’s vision for cloud-enabled voice trading. We’re at a turning point in how technology is transforming trading floors and Cloud9 is playing a critical role in the evolution of voice trading.”
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