Siepe Raises $30m in Series B Funding Led by | Bonds & Fixed Income

Siepe, a supplier of software program and technology-enabled companies for personal credit and CLO managers, has raised $30m in a Collection B funding spherical led by WestCap, a strategic working and investing firm with $6 billion in property below management (AUM).

The investment will drive a multi-product roadmap, together with the enlargement of its AI and Machine Studying capabilities, and strengthen strategic partnerships.

These initiatives will help assist the accelerated capital flows, and remove inconsistent information and processes seen throughout the Collateralized Mortgage Obligation (CLO) and personal credit ecosystem.

Since its founding in 2012, Siepe has designed options and companies that allow strategic business and investment choices for the entrance, center and back workplace groups of personal credit asset managers and CLOs.

Their answer suite brings complete investment lifecycles into perspective, offering clients with a single source of fact and full transparency into real-time, correct information to increase oversight and streamline workflows. By leveraging AI technology, Siepe options additionally remove guide processes that can be utilized to drive bottom-line growth for its purchasers’ clients and optimize investments.

As personal credit continues to be one of the quickest growing asset lessons within the alternate options market, the firm is dedicated to enhancing the effectivity, information integrity, compliance assist and scalability of CLO and personal credit managers.

As a outcome, Siepe has seen important growth throughout technology and repair business traces in H1 2024 with personal credit managers. This consists of including nineteen CLO and personal credit offers with eight top-tier US CLO managers, which accounts for over $7.7BN in new property below administration (AUA). The Firm additionally onboarded two new front-office software program purchasers, one with $80BN AUM in personal credit property and the opposite with $6BN in whole AUM and launched a new personal credit fund.

“The new capital will help us continue our momentum in deploying integrated solutions and best-in-class service for fund managers in the private credit and broadly syndicated bank debt sector,” stated Michael Pusateri, CEO and Founder of Siepe. “Our mission is to help credit managers better leverage their data to reduce operational risk and increase alpha.”

The Siepe group will leverage WestCap’s expertise – as founders, operators and managers – within the personal markets ecosystem, particularly round financial technology and information management workflows. The firm can be an early and materials investor in personal market-leading innovators iCapital and Addepar. 

WestCap’s assist of Siepe will probably be led by: The firm’s founder, Laurence A. Tosi, former CFO of each Airbnb and Blackstone, and COO of Merill Lynch Funding Banking and Buying and selling. As a founder and investor, he created a number of industry-changing platforms to unravel some of probably the most urgent challenges in personal markets, together with Ipreo, TMC Bonds and iLevel; WestCap Associate, Co-COO and Head of Strategic Operators, Kevin Marcus, who will be a part of the Siepe board and convey his expertise because the Co-Founder and former President of iPreo (acquired by IHS Markit), a supplier of market intelligence, information, and workflow options for world capital markets. Ryan Benevides, Principal at WestCap, who can even be a part of the Siepe board, and beforehand held roles within Blackstone Credit score. 

“The growth of private credit markets has outpaced investment in technology and innovation, causing inefficiency, lack of insight and control over private assets,” stated Laurence A. Tosi, Managing Associate and Founder of WestCap. “These are the challenges that Siepe is addressing with a trusted solution that brings the entire investment lifecycle into perspective.”

At the side of the new funding, Siepe has appointed Mark Schultis as President. Schultis joined Siepe as an Advisor in October 2023, bringing practically twenty years price of expertise centered instantly within the credit and CLO world. Beforehand, he was CEO at SE2 LLC, and a Associate and Senior Vice President at IHS Markit working the Wall Avenue Workplace (WSO) business.

“I’m thrilled to join Siepe at this pivotal moment in their journey. Michael and team have always taken a technology first approach to building products and services for their customers, which is a key differentiator in the market today,” stated Mark Schultis. “This new funding will accelerate our ability to scale our business, better support our customers and drive innovation in the industry, particularly around connectivity, quality and data transparency.”

The new government and board membership line-up enhances Siepe’s deep bench of senior management and intensive industry expertise. Previous to founding Siepe, Michael Pusateri served as Chief Know-how Officer at Carlson Capital and Highland Capital Administration. The Firm’s board members additionally embody Robert Tomicic, a former Founder of Virtus Companions, and Ann Kono, former Chief Data and Danger Officer for Ares Administration Company.

Supply: Siepe