Eurazeo backs UK, Singapore-based Thought Machine

Eurazeo Growth, which typically invests from Series C and up, is leading a $42 million extension of an $83 million investment in March. That came from a group including Draper Esprit and joined by Lloyds Banking Group, IQ Capital, Backed and Playfair Capital. British Patient Capital and Sweden-based SEB Group also participated in the extension.

It coincides with the establishment of Thought Machine’s regional headquarters in Singapore as part of a broader Asian push. The company, which specializes in helping banks transition from legacy IT platforms to cloud-based systems, will use the fresh capital in part to hire staff in the region and develop payments technology. Earlier this year, Thought Machine joined a payments accelerator program organized by MasterCard.

Thought Machine’s core product is Vault, a banking platform described as facilitating a significant portion of all the functions required to run a bank via seamless, frictionless micro-service architecture that contains no pre-cloud technology. The company claims Vault can be configured to manage any type of retail banking product – including accounts, loans, credit cards, and mortgages – no matter the complexity.

“Banks around the world are undergoing a fundamental digital transformation while moving to the cloud in response to increasing regulatory complexity, more sophisticated customer needs and growing competition from new entrant,” Zoe Fabian, a managing director at Eurazeo Growth, said in a statement. “Fintechs are maturing to position themselves meaningfully in the value chain. Thought Machine’s commercial traction is a testament to that paradigm shift.”

Eurozeo has EUR18.8 billion ($22 billion) in assets under management across a range of asset classes and strategies, including a strong focus on private equity. The firm has yet to make a direct investment in Asia but has been increasingly aggressive in accessing the region via its various joint ventures.

Earlier this week, the Eurazeo China Acceleration Fund, a cross-border vehicle established in partnership with China Investment Corporation and BNP Paribas, made its debut investment in DORC, a Netherlands-based medical supplier.

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• Topics
• Europe
• Southeast Asia
• Financials
• Technology
• Early-stage
• United Kingdom
• Singapore
• Asia
• Eurazeo
• Financial Services