Blackstone and BNY Back LemonEdge's $21M Series A to Modernise Private Markets Accounting Infrastructure
Blackstone and BNY Back LemonEdge’s $21M Series A to Modernise Private Markets Accounting Infrastructure #
LemonEdge, a cloud-based fund accounting and operations platform for the private markets sector, has closed a $21 million Series A round, bringing its total funding to more than $30 million since the company was founded in 2020.
Blackstone Innovations Investments, the early-stage venture arm of Blackstone, led the round. BNY and existing backer Sidekick Partners also participated. The London- and New York-based company said it will use the capital to accelerate product development and expand its presence in the United States and Europe, with plans to add new clients over the next twelve months.
The round also brings leadership changes. LemonEdge has appointed David T. O’Malley as chief executive officer and board chair. O’Malley previously served as president of Numerated Growth Technology, where he oversaw international expansion and the company’s acquisition by Moody’s Analytics. LemonEdge also named Katharine Briggs as chief growth officer, responsible for go-to-market strategy and client expansion across North America and Europe.
The platform targets private equity firms, fund administrators, and family offices that have outgrown older accounting software. The company says legacy tools were not built to handle multi-entity structures, complex waterfall calculations, or the real-time reporting demands of modern alternative asset managers. LemonEdge automates accounting, governance, and operational processes across the fund lifecycle in place of manual workflows and disconnected systems.
A portion of the investment is earmarked for expanding the platform’s artificial intelligence capabilities. LemonEdge has integrated AI tools to automate workflows, improve investor reporting, and generate more detailed analytics, with data remaining governed and auditable within a single system of record.
Private market assets under management are forecast to reach $26.7 trillion by 2030, according to figures cited by LemonEdge. BNY’s global head of fund and investor solutions said many of the firms it serves have requirements that legacy systems can no longer meet, including new fund types and the adoption of emerging technologies.
The deal adds to a run of institutional investment in back-office software for alternative asset managers, as large financial firms look to support technology that handles fund operations in a sector that has grown significantly in recent years.
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