Tuesday, September 21, 2010
Covarity Receives $2.3 Million in Funding to Accelerate Growth
Adds New Investor in Ontario Emerging Technologies Fund
Kitchener-Waterloo, Ontario, CA – September 21, 2010 - Covarity Inc., the leading commercial loan portfolio management software provider, today announced that it has received an additional $2.3 million in investment funding from BDC (Business Development Bank of Canada - www.bdc.ca), GrowthWorks (www.growthworks.ca), Tech Capital Partners (www.techcapital.com), VentureLink Group of Funds (www.venturelinkfunds.com) and OETF (Ontario Emerging Technologies Fund -www.ocgc.gov.on.ca). The funds will be used to execute the company’s growth plans to expand its presence in the U.S. financial services market.
"Over the past 6 years, we have seen Covarity grow and transform the way financial institutions manage their commercial credit portfolios - becoming a critical component of the success of their clients,” said Andrew Abouchar, Partner, Tech Capital Partners. "We are proud of our ongoing contribution to their progress and look forward to watching Covarity take advantage of an extremely exciting market opportunity.”
Covarity provides financial institutions with a commercial loan monitoring and analysis solution that measurably improves portfolio health and performance. By delivering the insight and control that lenders need to profitably grow their portfolio – while reducing risk and enhancing borrower service – Covarity enables financial institutions to enjoy improved competitiveness. Covarity's innovative SaaS (software as a service) solution helps expose at-risk loans before they become delinquent and reduces risk by facilitating faster and better decision-making and better preparation for increasing regulatory scrutiny.
"Now that banks are emerging from the recent credit crisis, we are seeing a renewed focus on regulatory compliance and a tightening of their risk management practices," said Rod Foster, President and CEO of Covarity. "More than ever, there is a fundamental need for financial institutions to have centralized visibility and control across their commercial portfolios. We are delighted to have assembled such a strong group of investors who support this vision.”
About Covarity Inc.
Covarity is the choice of the best managed banks in the world (as cited by sources such as the World Economic Forum and Global Finance magazine) for precision commercial loan portfolio management. Covarity automates the process for collecting and analyzing borrower financial data and enables financial institutions to manage credit risk on a loan-by-loan basis. Covarity's hosted, Web-based commercial loan monitoring solution delivers process efficiencies, value-added customer service and helps prepare financial institutions for regulatory scrutiny fast and efficiently with minimal capital outlay. Covarity is based in Kitchener, ON and was incorporated in 2001. Covarity's customers include Royal Bank of Canada, BMO Bank of Montreal, HSBC Bank Canada, Laurentian Bank, Libro Financial Group, and RBC Bank in the United States. Please see www.covarity.com for more information.