Financial Services Investment Dollars Heading to China


    On the same day that I’ll be receiving briefings from five China-based high tech companies as a participant in the “ZPark-CBC Beijing High-tech Company Silicon Valley Road Show,” another US-China-based service provider has announced a new infusion of capital from existing and new investors.

    Freeborders, which currently has about 400 staffers in offices in San Francisco, New York, Montreal and Shenzhen, China, will be bulking up its China presence by another 600 people over the next 12 months, according to co-CEO John Cestar.

    A $20 million commitment from existing investors Internet Capital Group and TAL Group and new investor FTVentures will help the expand from its current retail tech roots into financial services.

    FTVentures’ backers include 38 of the world’s leading financial institutions. The investments typically apply to software and services companies that cater to the banking and investment markets. This is an arena that the major India-based service providers currently dominate in the offshore landscape.

    More about Freeborders shortly, when I run excerpts from an interview I recently did with Mr. Cestar.