London wrestled the top spot for RegTech deal activity from San Francisco in the third quarter, now leading the 2020 investment league.
At the halfway mark through 2020, San Francisco held the top spot for RegTech deal activity with 15 transactions completed in the Silicon Valley powerhouse. London and New York trailed with 12 and eight deals, respectively.
However, in the third quarter of the year London saw a flurry of deal activity and the city doubled its number of transactions to 24 funding rounds to lead the way so far in 2020. The largest investment recorded in the city was Snyk’s $200m Series D round completed in September. The company, which builds security into the application development process, also raised a $150m Series C in January to reach unicorn status.
New York also saw deal activity recorded in the city double to 16 transactions. With a strong financial services sector and natural first step to expand into the US for many European companies, the city is fostering a strong RegTech ecosystem. For example, ComplyAdvantage opened office in New York last year and 2020 saw SmartSearch, an AML vendor based in the UK, make its first foray in the States.
Interestingly, the only other European city too make the list was Madrid. The city is home to leading RegTech companies Electronic ID and FacePhi, which were both recognised in the RegTech100 list for 2020. The largest deal this year was raised by Kymatio, a cyber risk platform, which completed a €725,000 seed round in June.
Copyright © 2018 RegTech Analyst
