Caplin Systems goes through recapitalization – LeapRate Exclusive

LeapRate Exclusive… LeapRate has learned that online trading platform provider Caplin Systems has completed a recapitalization of the company – essentially, a buyout of the two main outside shareholders by management backed by a new outside investor.

ION Capital ManagementAs part of the recap, two of Caplin’s original investors which had been with the company since its founding 15 years ago – the UK’s Elderstreet Capital and US-based fintech venture capital firm FTV Capital – exited their ownership stakes in Caplin.

The recapitalization was achieved with outside funds from new investor ION Capital Management (ICM), a specialized investor in financial technology businesses.

Dublin, Ireland based ION is the same group which acquired Wall Street Systems back in 2011. Wall Street Systems provides post trade processing solutions to the FX market. ION has also acquired a number of other trading-related technology companies. ION is backed, in turn, by leading venture investor TA Associates.

Paul CaplinThe Caplin management team, led by founder and Chairman Paul Caplin and CEO John Ashworth, participated in the recapitalization and plan to leverage ICM’s deep domain expertise to help grow the business.

Caplin was advised by investment bank Arma Partners in the transaction.

Founded in 2000 and headquartered in London, Caplin provides e-distribution software that allows financial institutions to deliver an online trading experience to their clients. Caplin’s Single Dealer Platform (SDP) and associated services enable banks and brokers to deliver trading, payments and information services direct to clients and staff via the Internet.

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