Cinven and Objectway's Founder and Management Team Join Forces for Growth-Driven Partnership
In a significant move, private equity firm Cinven has made a majority investment in Objectway, a leading digital end-to-end "Solution-as-a-Service" provider for wealth managers, banks, and asset managers. This investment marks a strategic step for Objectway, setting the stage for accelerated growth through organic expansion, targeted M&A, and increased investment in its technology platform.
Objectway's well-established position in the structurally growing market of digital wealth management, characterized by increasing demand for integrated end-to-end platforms, forms the backbone of this investment. The deal provides a compelling opportunity for Cinven, with the market fueled by escalating digital transformation needs in wealth and asset management.
Luigi Sbrozzi, Partner and Co-Head of the Strategic Funds at Cinven, expressed confidence in the partnership, stating that Cinven is well-positioned to help Objectway's management team achieve their growth ambitions.
Growth Drivers and Strategic Plans
The investment in Objectway is driven by several key growth drivers and strategic plans. These include capitalizing on ongoing industry trends such as regulatory complexity, customers demanding digital solutions, and margin pressure, creating robust demand for technology outsourcing and tech-enabled services in wealth management and asset management sectors.
Objectway aims to expand its market share organically by continuously enhancing its product roadmap that integrates client feedback, regulatory compliance, and technological advancements, supporting a diverse blue-chip customer base across more than 16 countries. The company also plans to pursue targeted mergers and acquisitions (M&A) facilitated by Cinven’s financial and strategic support to capture additional market opportunities and accelerate growth.
Investing heavily in technology platform development is another key strategy for Objectway. This investment will maintain a differentiated end-to-end offering that covers front, middle, and back-office functionalities, strengthening its leading “Solution-as-a-Service” business model with high recurring revenues and strong cash flow.
The Future of Objectway
With Cinven's backing, Objectway is poised for a promising future. The transaction is subject to regulatory approvals and other customary closing conditions. Luigi Marciano, CEO, Chair, and founder of Objectway, will remain a significant shareholder and continue in his role after Cinven’s investment.
Objectway's founder-led culture and strategic vision, coupled with Cinven's deep expertise and networks in the European mid-market, particularly in areas aligned with the firm’s core geographic and sector strengths, including technology and tech-enabled services, financial services, and business services, promise an exciting journey ahead for the digital wealth management provider.
[1] Source: Objectway press release, [Date] [2] Source: Cinven press release, [Date] [3] Source: Financial Times, [Date] [4] Source: Reuters, [Date] [5] Source: The Wall Street Journal, [Date]
The investment by Cinven in Objectway is driven by a strategic vision that harnesses industry trends in finance, such as regulatory complexity, demand for digital solutions, and margin pressure, to capitalize on the burgeoning market for technology outsourcing and tech-enabled services in wealth management and asset management sectors. [1]
Objectway intends to bolster its market position through organic expansion, continuous product enhancement, targeted M&A facilitated by Cinven's financial and strategic support, and substantial investment in its technology platform, aiming to maintain a differentiated end-to-end offering in the competitive digital wealth management industry. [1, 3, 4, 5]
