A Cincinnati financial technology firm that’s been growing at a fast clip is raising tens of millions of dollars in new equity, according to a recent Securities and Exchange Commission filing.
Downtown-based Luma Financial Technologies has sold more than $30 million as part of a planned $75 million raise. The amounts were disclosed in a Form D filed last week.
The downtown-based firm has experienced massive growth dating back to 2020 as it increasingly targets an underserved market. The company’s platform makes it easier for investment advisers to access and compare structured products and annuities.
Luma officials did not immediately respond to a request for comment; that’s typical since federal regulations prohibit publicity when companies are actively raising funds. But the filing offers a few interesting tidbits.
The firm set its minimum outside investment at just more than $5 million. Broadhaven Securities, a Chicago, New York and San Francisco-based investment bank that provides advisory services, is listed as the broker-dealer.
Luma Financial was founded in Cincinnati in 2005 by CEO Tim Bonacci, a former bank executive for Fifth Third and PNC, as CD Funding. The company later shifted to structured products, and Bonacci renamed it Navian Capital. In 2018, he spun off the technology platform as Luma Financial — and landed initial investments from Bank of America Merrill Lynch and Morgan Stanley to get off the ground.
Earlier this year, Luma received job-creation tax credits from the City of Cincinnati to expand at its current downtown location in U.S. Bank Tower, at 425 Walnut St.
Luma, which counts some of the largest financial institutions in the world as customers, said it plans to double in size, adding 58 jobs to its existing headcount of 54. The new roles will allow it to offer additional products to its customers, as well as expand its international presence.
Luma has offices in Latin America (Santiago, Chili) and Europe (Zurich) as well as New York.
