Corlytics has snapped up Clausematch to create a regtech powerhouse offering comprehensive solutions to organisations worldwide, including insurers, banks and payment companies.
The acquisition brings the combined number of clients to 80, including 14 of the world’s top 50 banks. It will also combine both teams’ proprietary AI models enabling classifying, tagging and mapping regulatory content.
Following the deal, Clausematch founder and CEO Evgeny Likhoded takes on the newly created position of president of Corlytics.
He will be responsible for ensuring that Corlytics can act as a strategic partner to solving clients’ regulatory technology challenges as well as managing the scope of Corlytics’ portfolio of solutions.
Meanwhile, John Byrne, founder and CEO at Corlytics, will drive the vision, growth strategy and profitability as CEO of the enlarged group.
The deal also follows the acquisition by Corlytics of ING SparQ in January 2023 to enable digitalisation across the regulatory change lifecycle.
“Corlytics’ second acquisition of the year, this deal marks a new milestone in the growth journey of our platform,” said Byrne. “We are thrilled to incorporate Clausematch into next level of growth and welcome Evgeny Likhoded as our new president. Clausematch has a proven track record as a global regtech leader, and the synergies are obvious especially among our joint customer base.
“We look forward to bringing the regtech industry to the next level of maturity – providing a one-stop-shop regtech solution that meets and exceeds evolving regulatory needs.”
Clausematch founder Likhoded, who created Clausematch out of frustration with the limitations of existing compliance and legal solutions, said he was “incredibly proud to join forces with Corlytics on the next stage of our journey”.
“Our clients have been asking for the integration of regulatory content into our platform for a long time,” he said. “By combining and accelerating our products and client relationships, we will drive a revised compliance operating model and unlock new value for our esteemed clients, redefining the regtech landscape.
“Through the combined products, our clients will be able to show to the regulator how a regulatory change is assessed, implemented and communicated internally and be able to provide compliance attestations in a single platform. It’s a first of a kind offering that does not exist today and it will change how financial services firms manage compliance.”