Capitolis to Acquire eSecLending in $200 Million All-Cash Transaction, Expanding Its Financial Resource Management Solutions and Client Base to Include Largest Asset Owners

Adds securities lending capabilities to the Capitolis platform and marks the company’s fourth strategic acquisition in five years alongside continued organic growth

NEW YORK–(BUSINESS WIRE) — Capitolis, the financial technology company,  today announced an agreement to acquire eSecLending for $200 million in an all-cash transaction. eSecLending is a leading independent securities lending business working with many of the world’s largest asset owners, including pension funds, insurance companies, and asset managers, to lend securities to major global banks. Over its 26-year history, eSecLending has built an extensive network of institutional investor relationships and a robust ecosystem that includes every major bank and prime broker, supporting its clients’ securities financing transactions and fueling significant growth in recent years.

The acquisition extends the Capitolis platform, adding securities lending as a complementary capability to its existing financial resource optimization solutions. Together, the combined offering provides a differentiated set of capabilities for banks and institutional investors, helping them unlock greater efficiency, optimize resources, and access new opportunities across securities lending, repo, and financing markets. The acquisition also expands Capitolis’ reach to eSecLending’s established network of institutional asset owners while adding the infrastructure, expertise, and scale to accelerate innovation and support future growth.

“We’ve known the eSecLending team for years and have already been partnering to introduce new solutions to the market,” said Okan Pekin, President of Capitolis. “We’ve seen firsthand the strength of their client relationships, the quality of their business, and the deep expertise of their team. Bringing eSecLending and Capitolis together expands our network and enhances our offering with securities lending capabilities that naturally complement our existing set of solutions.”

“We are incredibly proud of what we’ve built at eSecLending and grateful to the team, clients, and partners who have been part of that journey,” said Craig Starble, Chief Executive Officer of eSecLending. “Capitolis is an exceptional company with global reach, a strong commitment to innovation, and deep relationships with many of the world’s leading financial institutions. Joining them enables us to expand the solutions we bring to market and deliver even greater value to our clients.”

“This is a transformational acquisition for Capitolis,” said Gil Mandelzis, CEO and Founder of Capitolis. “We have been enjoying exceptional organic growth over the past few years across our existing business lines, and eSecLending adds a highly complementary new business that aligns closely with our clients’ evolving needs. We are thrilled to welcome Craig, the eSecLending team, and their clients to the Capitolis network as we broaden our offering and accelerate our growth.”

Capitolis is acquiring eSecLending from Parthenon Capital and the Company’s management team. As part of the transaction, Parthenon Capital is investing in Capitolis.

The transaction is subject to customary closing conditions, including receipt of required regulatory approvals and antitrust clearance. eSecLending (Europe) Limited is not included in the transaction, but will continue to provide services to eSecLending.

FT Partners served as the exclusive strategic and financial advisor, and WilmerHale served as legal advisor to Capitolis on this transaction.

Berenson & Company and Raymond James served as financial advisors, and Troutman Pepper Locke LLP and Debevoise & Plimpton LLP served as legal advisors to eSecLending in connection with this transaction.