Corvil, the technology and market leader in latency management systems for trading network infrastructure, today announced that it had secured USD 12 million in a new round of funding. Vesbridge Partners joined existing investors ACT Ventures and APAX Partners, to lead the new round. Vesbridge’s Zenas Hutcheson has been named to Corvil’s Board of Directors.
Corvil will use the new financing to expand its capabilities to meet the demands of global investment banks, hedge funds, ECNs, exchanges, and network service providers seeking the lowest possible latency for high performance trading.
Donal Byrne, CEO said: “One of the most pressing issues impacting global financial firms is how to increase speed and reduce latency when accessing market data and trade execution venues. Electronic traders need to be confident that orders are executed with the least possible latency. A Latency Management System that continuously monitors, analyses and optimises the network for low-latency performance is what is needed. Only then can they be certain that the network can deliver the service levels required by high performance trading applications. This new financing recognises Corvil’s success in providing solutions for latency management to traders and network operators and architects in global financial markets. We are pleased to have Vesbridge be part of our continued success.”
Zenas Hutcheson reported: “Corvil has unique technology, a strong team, and addresses a rapidly expanding market for latency management of high performance electronic trading infrastructure. This demand is driven by growth in algorithmic trading, direct market access (DMA), exchange co-location, and the increasing need for high quality market data. Corvil has developed targeted solutions that enable its customers to build networks that continuously meet the stringent demands of high frequency trading while quickly identifying and resolving problems when they occur. We are excited about the opportunity and look forward to working with the Corvil team.”
The TABB Group has estimated that The US capital market spending on advanced trading technology totalled USD 860 million in 2007 and expects spending to reach USD 1.3 billion by 2010.
Corvil was founded in 2000 to address difficult challenges in network performance and optimization brought about by increasing sensitivity of modern networked applications to latency. These challenges included microburst detection and real-time determination of the bandwidth required to meet pre-specified service quality levels for networked applications. In 2007, Corvil increased its focus on latency management in high frequency trading infrastructure. In October Corvil announced that the London Stock Exchange had deployed the CorvilNet solution to help achieve low-latency in LSE’s access network and record performance levels for its new trading system, called TradElectTM. In November 2007 Corvil announced that Deutsche Börse Systems deployed CorvilNet to ensure the success of Deutsche Börse Group’s Eurex market data service to significantly enhance support of algorithmic trading. In June 2008 Corvil announced that Credit Suisse has selected CorvilNet for a global network deployment. Corvil teamed with BT to deliver a best-in-class solution for latency management and optimization of the Credit Suisse network.
