Deutsche Börse and Illuminate Financial invest in RegTek.Solutions

Deutsche Börse and Illuminate Financial Management LLP have co-led in a US$5 million Series A funding round in RegTek.Solutions Inc., a leading multi-jurisdiction regulatory reporting
solutions provider.

Based in New York, RegTek.Solutions was launched earlier this year as a
specialist provider of global regulatory compliance software by Risk Focus
Inc., the risk and regulatory services firm. RegTek.Solutions provides
innovative trade reporting solutions and cost-effective compliance software

(“Report-It”) enabling firms to improve the quality, transparency and
control of regulatory reporting obligations across multiple jurisdictions and asset
classes, including OTC Swaps, Credit, Rates and Equity, as well as FX and
Commodities trading. The firm counts ten of the G15 banks among its client
base.

For Deutsche Börse this investment will be managed by DB1 Ventures, the
corporate venture capital arm of the market infrastructure provider. Holger
Wohlenberg, Managing Director and Head of Market Data and Services at
Deutsche Börse, and Mark Beeston, Managing Partner from Illuminate Financial, will
become non-executive board members of RegTek.Solutions.

Brian Lynch, CEO, RegTek.Solutions Inc. commented: “Receiving strong
financial backing from global exchange Deutsche Börse and capital markets specialists
Illuminate Financial serves as a real validation of our offering and
prospects for future growth. As the next bottleneck of regulatory deadlines nears and
both sell-side and buy-side firms grapple with adhering to the new rules,
we are seeing strong demand across the market for outsourced trade reporting
tools that provide assurance and transparency around data quality, completeness
and accuracy.”

Ankur Kamalia, MD & Head of Venture Portfolio Management and DB1 Ventures,
Deutsche Börse, added: “In the new regulatory landscape, RegTek.Solutions
has established itself as a reliable service provider with deep insight of
regulatory topics. While we have already been working with the team for
some time to enrich our Regulatory Reporting Hub, the investment will help us
deepen our relationship with RegTek.Solutions and enable the firm to service
clients required to validate, report and reconcile trade data.”

Mark Beeston, Managing Partner, Illuminate Financial Management LLP
comments: “RegTek.Solutions offers deep domain knowledge and technical capabilities
within the post-trade space. A perfect storm of new reporting rules from
multiple regulators, as well as the inclusion of the buy-side under MIFID
II requirements, make this a key strategic priority within our capital markets
focused fund. We look forward to working closely with the team at
RegTek.Solutions and Deutsche Börse to effectively scale the business.”

The strategic investment in exchange for a minority stake will be used to
scale RegTek.Solutions’ operations as market participants seek to comply with
incoming multi-jurisdictional reporting requirements such as MiFID II /
MIFIR in Europe, Dodd Frank with the impending SEC implementation and potential
new CFTC rules in North America, as well as ongoing change in Hong Kong,
Singapore and other global jurisdictions.

Under MiFID II, asset managers and other buy-side institutions will become
liable for their own trade and transaction reporting for the first time.
With the number of reportable fields set to increase from 23 to 65, the need for
these institutions to implement MIFID II compliant trade reporting systems
before the January 2018 deadline has become paramount. This strategic
investment will enable RegTek.Solutions to meet demand among this client
segment who require secure outsourced solutions that can be quickly
implemented and can benefit from scalable solutions that many top tier sell-side
organisations already trust.