Israeli financial software developer Traiana has been acquired by ICAP plc (LSE:IAP) for $238 million in cash plus $9 in ICAP shares, which will vest within four years. Traiana develops automated post-trade processing services to financial institutions. ICAP is a UK-based inter-dealer broker.
Traiana was founded in 2000 by CEO Gil Mandelzis and Shai Sole. The company has raised $42.5 million from Pitango Venture Capital, Gemini Israel Funds, Evergreen Venture Partners, Sequoia Capital, Eastman Ventures, and other investors.
Traiana predicts $15 million revenue for the year through January 2008, 40% more than in 2007. The company provides global banks, broker/dealers, buy-side firms and e-trading platforms with solutions to automate post trade processing of financial transactions, which were often performed manually. Its systems are installed at a cost of up to $4 million. Its Harmony network is used by over 50 of the world's leading banks and has become the market standard for post-trade processing of foreign exchange transactions. “Globes” selected the company as one of Israel’s most promising start-ups in 2005.
ICAP is listed on the FTSE 100 and has a market cap of $7 billion. The company handles $1.5 trillion in transactions a day in interest rate, credit, commodities, foreign exchange, and equity derivatives.
Traiana executives, including Mandelzis, will stay with ICAP following the acquisition.
Published by Globes [online], Israel business news - www.globes.co.il - on October 10, 2007
© Copyright of Globes Publisher Itonut (1983) Ltd. 2007