Qumas, a Cork-based software firm rapidly making a name for itself in the burgeoning field of regulatory compliance, has secured a major US$10m investment.
Qumas, which recently opened US headquarters in New Jersey, received the investment from US venture capital firms Fidelity Ventures and General Catalyst Partners.
Proceeds from the funding will be used to enhance the company’s risk and compliance solutions, for a significant expansion of the company’s sales and marketing operations in the US, and to increase the level of customer support for Qumas’s growing list of clients. Qumas will significantly expand US operations, including establishing a new corporate office in Boston.
“With this additional capital, we are in excellent position to take advantage of our experience and technical leadership in the compliance solutions marketplace,” said Paul Hands, CEO of Qumas.
“Regulatory and operational compliance is a major issue for the financial services and pharmaceutical industries, and it is not going away. This capital will fuel the expansion of our business and enable us to help more companies turn compliance requirements into business efficiencies and achieve compliance across the board.”
In an increasingly regulated corporate environment, regulatory compliance is a core business issue. At the same time, achieving complete, enterprise-wide regulatory compliance while maintaining corporate performance and adhering to strict budgets can be extremely complex. Qumas is the only vendor that offers a portfolio of products that enables the financial services and life sciences industries to achieve complete, enterprise-wide compliance with a broad range of regulations and initiatives such as Sarbanes-Oxley Act 2002, Security Exchange Commission rules, the US Patriot Act, 2004, and various anti-money laundering rules.
Industry and financial analysts alike have asserted that the market for IT solutions that help organisations achieve regulatory compliance is huge. According to IDC, the worldwide information management for the regulatory compliance market will pass the US$20bn mark in 2009 and grow at a 22pc compound annual growth rate through the 2005-2009 forecast period. IDC also says compliance and reporting issues will play a larger role in IT initiatives, which will lead to upgrades and improvements.
By John Kennedy