Fintech Unicorn Capitolis Acquires eSecLending for $200 Million

Fintech unicorn Capitolis has acquired the American company eSecLending for $200 million in cash. eSecLending is a leading independent firm in securities lending, operating with many of the world's largest asset owners, including pension funds, insurance companies, and asset managers, serving as a vital link between them and global banks for securities lending operations.

Strategic Expansion and Market Impact

Based in Boston with operations across the United States, eSecLending brings a robust network and a complementary set of capabilities to Capitolis. According to Gil Mandelzis, founder and CEO of Capitolis, the acquired company works with approximately 35,000 pension funds. The acquisition marks the fourth and largest deal for Capitolis, which has raised roughly $300 million to date. The 120 employees of eSecLending will join the existing 200 staff members at Capitolis.

"This is an acquisition that changes the face of Capitolis and represents a significant step in the company's evolution," said Gil Mandelzis. "Capitolis continues to grow at high rates and has already become an essential strategic partner for most of the world's largest banks."

Enhanced Solutions for Global Financial Markets

Over its 26 years of operation, eSecLending has built an extensive network of relationships with institutional investors, banks, and prime brokers, supporting its clients' securities finance transactions. The integration allows Capitolis to offer global banks a broader array of solutions designed to improve efficiency, optimize resource utilization, and capture new opportunities in securities lending, repo, and financing markets.

Craig Struble, CEO of eSecLending, noted that joining forces with Capitolis will enable the firm to expand its market offerings and deliver enhanced value to clients globally. The transaction underscores the ongoing consolidation and technological advancement within the global fintech and financial services sector.