SGX returns to back US$60m investment into US bond trading platform Trumid

Last September, Singapore Exchange led a US$53 million growth equity financing round in Trumid.
Last September, Singapore Exchange led a US$53 million growth equity financing round in Trumid.PHOTO: LIANHE ZAOBAO

SINGAPORE - Trumid, a New York-based fintech startup and bond trading platform, has secured fresh investment from global investment firm Hillhouse Capital in a US$60 million funding round.

With this move, Hillhouse Capital will own a minority stake in the company. Also taking part in this round of funding are existing investors Singapore Exchange (SGX) and Arbor Ventures.

The latest injection of funds will be used to expand Trumid's US corporate bond business, and for protocol and product expansion, the company said.

It added that Hillhouse's strategic partnership further supports Trumid's existing relationship with SGX in Asia.

Founded in 2014, Trumid aims to bring efficiency to credit trading through data, technology and innovative products. It has a client network of over 425 buy-side and sell-side institutions.

According to the company, April was also a record month for usage and trading activity on its platform, with transactions up by about 75 per cent from the previous year.

Mike Sobel, President of Trumid, noted that Hillhouse is a "fantastic partner" for Trumid at this stage of its life cycle. "They have a stellar track record of supporting long-term growth, and will help us improve and expand for years to come," he said.

Added Hillhouse founder and CEO, Lei Zhang: "We have been highly impressed with Trumid's ability to use data and technology in developing an outstanding corporate bond trading platform. We look forward to leveraging our network and operational expertise to help Trumid build out its presence globally."

In September last year, SGX led a US$53 million growth equity financing round in Trumid, bringing its life-to-date external funding then to above US$100 million.

Separately, Hillhouse Capital - which counts Airbnb, Baidu and Tencent Holdings among its portfolio companies - closed its own US$10.6 billion funding round last September. The investment firm is an avid investor in China's largest tech firms.