Investee Company – Prediction Dynamics (Ireland)
Investee Company Business Type – Develops and markets financial prediction software
Type of Financing – Start-up
Equity Providers – ACT Venture Capital, Enterprise Ireland
Equity Leader (Individual) – Kieron Branagan, ACT Venture Capital
Debt Providers – N/A
Debt Type – N/A
Debt Leader (Individual) – N/A
Equity Amount – euro1.34 million
Total Deal Value – euro1.34 million
Other Advisors – N/A
Comments – Dublin-based software company, Prediction Dynamics has closed its series A investment round with a second phase injection of euro1.34 million. The funding tranche was led by ACT Venture Capital and supported by Enterprise Ireland. The closure of the round brings the total raised by the company to euro2 million over the two stages of the deal.
Prediction Dynamics is a systematic trading and risk management software company which develops and markets CrucibleTM. The product is a financial prediction infrastructure tool that enables top-tier organisations to rapidly build predictive time-series models for financial markets. The software is aimed at high-end organisations and users such as hedge funds, financial risk managers and research groups engaged in developing and refining quantitative trading strategies.
This latest round of funding is aimed at allowing Prediction Dynamics to bring its financial prediction infrastructure product to a global market.
The company believes the software has applications in systematic trading, quantitative research, decision support and risk management. It supports a technology-based approach to investment, under which trades are established in accordance with a predetermined logical framework. This approach is aimed at encouraging financial trading by method rather than by emotion and helping traders to establish realistic trading objectives defining both risk and profit potential in advance.
Kieron Branagan, investment director at Act Venture Capital, said: “It is reassuring for the investors to see that the company has not only achieved its original target for the Crucible product launch, but the Prediction Dynamics team has also made significant progress in its sales and marketing efforts in recent months.”
The first tranche investment of euro650,000, announced in June 2001, was also provided by ACT Venture Capital, which has invested a further euro750,000 in this final tranche.