CapitalStream Announces Strategic Acquisition of CapitalThinking to Expand Mid-Market Lending Solutions
Union Offers Banks a Complete Front Office Automation Platform Supporting Enterprise Risk Management Across the Commercial Portfolio
Thursday, January 8, 2004
Seattle, WA - CapitalStream, a leader in front office automation solutions for commercial and equipment finance operations, today announced that it has acquired CapitalThinking Inc., a leading vendor of process automation and risk management software products for the commercial lending and commercial mortgage industry. The combined companies will continue operating under the CapitalStream name.
Already well-established in the commercial lending, small business lending and equipment finance industries, CapitalStream has purchased CapitalThinking to expand its product and service offering in front office automation for mid-market lending, commercial mortgage and enterprise risk management. CapitalThinking's tremendous domain expertise in one of the most complex components of commercial lending - commercial mortgage origination and securitization - will significantly enhance CapitalStream's product and service offering in mid-market lending.
"To lead and compete, financial institutions are improving the systems and processes that manage commercial finance operations - automating and integrating operations to ensure consistency, mitigate risk, reduce cost, and enhance business opportunity with each customer," said Jeanne Capachin, research director, corporate banking, Financial Insights. "The merger of CapitalStream and CapitalThinking consolidates two providers of front office automation solutions and offers support for a broader range of commercial lending products from a single provider."
CapitalThinking's product platform, bluewireTM ERM (Enterprise Risk Management), is based on the same Web-based, Java architecture as CapitalStream's FinanceCenter application. As a result, components will be combined rapidly to offer a wider range of advanced commercial lending capabilities on a common platform. By providing greater support for the full range of commercial products and more complex banking relationships, the CapitalStream platform will offer banks a complete enterprise risk management solution with a total view of the commercial relationship across all commercial products and portfolios.
"By acquiring CapitalThinking, we're expanding our established base of products and services for mid-market commercial banking. CapitalStream's offering now spans from high volume business lending and small ticket leasing to sophisticated, high touch multi-million dollar securitized commercial loans and mortgages," said Kevin Riegelsberger, president and CEO of CapitalStream. "No other front office automation solution can automate commercial lending across the full range of channels, products and relationships."
CapitalThinking's customers include some of the world's leading financial institutions including GE Capital, Bank of America, Royal Bank of Canada, PNC Bank, and Nomura Securities.
Established in 1995, CapitalStream develops financial front office automation solutions that enable banks and finance companies to transform paper-based, stand-alone operations into integrated, streamlined finance supply chains. CapitalStream solutions streamline application processing, deal structuring, credit analysis and document generation to rapidly originate leases, loans, lines and cards. As an established industry leader, CapitalStream has helped many small business lending, equipment finance and commercial lending operations to improve relationships with customers and partners, streamline operations, reduce risk and achieve significant revenue growth. For more information, visit CapitalStream's Web site at www.capitalstream.com.
CapitalThinking Inc. is a leading application software company for the financial services industry. CapitalThinking delivers bluewire Enterprise Risk Management (ERM), a compliance and risk management software solution for the financial services industry. The company's software provides enterprise-wide, customer-centric, process-integrated credit and operational risk management while also providing hard dollar savings and key customer support through workflow efficiencies and process automation. For more information, visit CapitalThinking's Web site at www.capitalthinking.com.
Founded in 1998, FTVentures was the first venture capital firm in the U.S. to focus on technologies that benefit the global financial services industry. FTVentures now has over $623 million in total capital under management and is a leading investor in information technologies. FTVentures invests primarily in companies developing products and services in software and business services, with a particular emphasis on companies that enable financial institutions worldwide to expand and to operate more efficiently. FTVentures' investors are 38 of the world's largest financial institutions, and are leaders in the innovative deployment of technology and operational solutions. For more information, please visit www.ftventures.com.
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