Verdane partners with global regulatory software leader Corlytics

• Verdane has made a majority investment in Corlytics, the global leader in regulatory intelligence, content and automated policy compliance and attestation, following a process managed by investment bank Baird  
• This partnership will enable Corlytics to cement global category leadership, accelerating organic growth and M&A 
• Corlytics growth will build on their strong client base which includes 40% of the top 30 Systematically Important Financial Institutions (SIFI)  

John Byrne, Corlytics’ founder and CEO, commented, “Corlytics has successfully progressed in developing new products to further improve our value proposition to Tier 1e clients globally. This investment from Verdane ensures the continued growing market leadership for Corlytics. We look forward to partnering with the Verdane team and with their experience and expertise, we expect to accelerate organic growth and augment that with M&A activity. As well as investing significantly in our ‘intelligent content’ offering, combining data, software and AI, we will continue to lead the RegTech sector consolidation with more complementary acquisitions, following our recent transactions with Clausematch and ING SparQ.”  

Nils Vold, Partner at Verdane, commented, “Verdane is delighted to back John and his impressive team at Corlytics. This is a centrepiece majority investment from our newly raised €1.1 billion Edda III Fund and we are thrilled that John and Corlytics chose to partner with Verdane against very strong market interest in the business. We are an active and experienced investor in the RegTech sector and we identified Corlytics as the global category leader in its field, helping banks and financial services companies manage their compliance obligations in a complex and fast-changing environment.”   

Sebastian Wintgens, Principal at Verdane, added, “We are excited to partner with Corlytics and look forward to leveraging our expertise in helping European software leaders to grow, both organically and through strategic acquisitions, as well as bringing our international industry networks to help Corlytics continue to thrive and succeed as it expands globally.”  

As part of the Verdane investment and partnership, Corlytics is pleased to announce an expansion of its board of directors, adding further expertise to support the company’s growth plans.   

Simon Russell joins Corlytics as Chair. He has almost 30 years of software advisory expertise. Over the last 15 years, Simon led technology investment banking at firms including Nomura and Dresdner Kleinwort and he served on banking management committees. He now works as a Chair and Non-Executive Director at various international software companies.  

Simon Russell, new Chair at Corlytics, said, “I have long admired Corlytics as a real RegTech industry leader. I am delighted to be partnering with John and Verdane to create value through an active acquisition agenda, plus providing Corlytics with wider support on delivering its ambitious growth plans.”  

Trintech founder Cyril McGuire will continue to serve on the Corlytics board as a Non-Executive Director and his Infinity Capital Fund has also invested for a minority equity stake in the company.  

The terms of the transaction have not been disclosed.   

Advisors  

For Corlytics: Baird (financial advisor), Dentons (legal counsel), Liberty (management advice), BDO (financial and tax DD)  

For Verdane: Trinity Square (strategic advisor), Burness Paull (legal counsel), McKinsey (commercial due diligence), Deloitte (financial and tax due diligence), PwC (structuring)