Hg Capital Trust PLC has announced a significant investment in CUBE, a global leader in Automated Regulatory Intelligence (ARI) and Regulatory Change Management (RCM) technology. The terms of the transaction have not been disclosed, but HgT will invest approximately £9.7 million in CUBE, with other institutional clients of Hg investing alongside HgT through the Hg Mercury 4 Fund. This investment will reduce HgT's outstanding commitments to invest in Hg transactions to approximately £948 million. CUBE's founder and CEO, Ben Richmond, expressed excitement about the partnership, stating that with Hg's vast experience and expertise in scaling software businesses, they look forward to accelerating their growth and continuing to deliver innovative regulatory intelligence and change management solutions.
CUBE, headquartered in the UK, has established itself as a trusted partner for many leading banks, insurers, asset managers, and other highly regulated enterprises. The company's platform offers a comprehensive and robust source of classified, AI-driven regulatory data covering every regulated country and territory across the globe. Ben Richmond emphasized the critical nature of the solutions they provide, stating that they demand the highest standards of accuracy and data quality. He also highlighted the company's embrace of AI and its commitment to delivering the industry's highest standards in quality and governance of AI.
Hg, a leading investor in European and transatlantic software and services businesses, has invested $6.5 billion in the regulatory, compliance, and financial technology sectors alone. The strategic partnership with CUBE will see Hg leveraging its deep sector expertise to support CUBE in its next phase of growth, providing strategic guidance and operational support to help the company scale its business, enhance its product offering, and expand its global footprint through both organic growth and acquisitions where synergies exist for CUBE's regulatory platform.
Christopher Fielding, Partner at Hg, expressed excitement about the partnership, stating that CUBE is an excellent example of a business using technology to solve real and pressing challenges for regulated industries. He also praised Ben Richmond as a visionary for the sector. Thomas Martin, Principal at Hg, highlighted CUBE's unique platform that scales to the most demanding customer requirements and is highly differentiated in its ability to deliver. The terms of the transaction have not been disclosed.
HgCapital Trust plc, listed on the London Stock Exchange, provides investors exposure through a liquid vehicle to a portfolio of high-growth private companies in the software and services sector. The selection of new investments and creation of value in these businesses are managed by Hg, an experienced and well-resourced private equity firm.