Estimize Raises $3 Million To Revolutionize Crowdsourced Earnings
Estimize, a rising startup that crowdsources estimates from more than 4,500 hedge funds, brokerages and independent analysts, announced that it has raised $3 million in a Series B funding round.
The round was led by WorldQuant Ventures, which was Estimize's first client in 2012.
"This is really exciting to us," Christine Short, senior VP of Estimize, told Benzinga. "We're being validated in the marketplace by our customers. We're proud to be able to say that they led the round and that they're allowing us to go out there and declare that they're a customer and now our lead investor."
WorldQuant Ventures was joined by Contour Venture Partners' Bob Greene (who participated in the Series A), along with newcomers Agilic Partners, Ross Garon (Head of Cubist Systematic), Frank Sica (Soros Funds), Brian Finn (former CEO of Credit Suisse), Jarrod Yuster (Founder of Pico Quant Trading) and Peter Nesvold (Argent Square Advisors).
Estimize's latest round is significant for the company, which plans to use the money to recruit new team members and build a bigger, better and stronger website. But it might be viewed as a conservative raise considering that the Series A totaled $2.4 million.
"That really is Leigh's intention -- to only take what we need," said Short. "He actually turns away investors (that want to invest) he deems to be more than we need right now, because we don't need [the additional capital]." Leigh Drogen is the founder and CEO at Estimize.
That doesn't mean the company won't raise more money, however.
"We're open to any strategically valuable investments that may come our way," Short added.
Live In New York City
Estimize announced its Series B during the Benzinga Fintech Awards Gala in New York City. The event coincided with the round, which provided a great opportunity for Estimize to make its announcement.
"I just think the timing certainly lined up," said Short. "The relationship with Benzinga has been wonderful. The fact that you're getting so many well-known fintech startups under one roof, it just seemed appropriate that we share the exciting news at this event."
Estimize also valued the opportunity to announce its Series B in front of the press, as well as its peers.
"It just made sense for us to share the news, make a splash there," Short added. "I'm excited to meet a lot of the fintech companies that I've heard so much about and are making a real difference in finance."
Disclosure: At the time of this writing, Louis Bedigian had no position in the equities mentioned in this report.
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