Wilmington-based nCino has completed a successful Series B financing round, the banking software company announced Tuesday.
The capital raise of $29 million was led by New York City-based Insight Venture Partners, a global private equity and venture capital firm, according to a news release from nCino. Founded in 1995, Insight has raised more than $9 billion and invested in more than 200 companies, including Twitter and Tumblr, among other Internet and eCommerce companies, said nCino spokeswoman Kathryn Cook in an email.
In addition, Jeff Horing, managing director of Insight Venture Partners, will be joining nCino’s board of directors.
“nCino has progressed rapidly since inception and is entering the next stage of fufilling its vision of becoming the undisputed leader in cloud-based banking,” Horing said in the release. “nCino’s innovative Bank Operating System tracks a loan through its entire life cycle to increase efficiency and create new revenue opportunities for its financial institution customers. In our view, nCino represents the future of banking, and we are pleased to partner with a company we believe will continue to create significant value for many years to come.”
Others involved in the Series B round, according to the release, are existing nCino investors Wellington Management Co. LLP; John Mack, former Morgan Stanley chairman and CEO; and Gene Ludwig, Promontory Financial Group founder and CEO.
The proceeds from this round of funding will allow nCino to continue expansion of its domestic operations and to enter international markets, the release stated. The financing will also accelerate product innovation and enable the young company to “further engage with large, enterprise banks; and grow its team with a key focus on product development and customer success,” the release stated.
nCino CEO Pierre Naudé said earlier this year that the company plans to target increasingly larger banks as it grows. Having established itself among its initial market: community banks and credit unions, the company will begin marketing products to commercial banks and will expand into treasury management, small business banking and eventually, into consumer banking, Naudé said during an interview in January. He added that nCino will also roll out new software systems designed to help banks with issues of governance, risk and compliance.
The CEO also said in January that the company plans to hire 50 to 75 more people in 2015. As the staff outgrows nCino's current quarters at Irongate, additional employees will be housed in the top floor of the Live Oak Bank facility on Tiburon Drive nearby.
The banking software provider, spun off in 2012 from Live Oak Bank and named for the Spanish word for live oak, announced in January that 2014 was a year of record growth in revenue, customer acquisition and number of employees. During the year, nCino saw its revenue increase 206 percent from the previous calendar year. More than $10 billion in loans was processed using nCino software in 2014, officials said.
