The risk management software group said under the agreement it would distribute and support Neotas’s enhanced due diligence application through its Global Risk Platform (GRP).
Neotas’s application uses machine learning and natural language processing to analyse individuals and firms and ensure they comply with regulatory guidelines as well as identifying potential conduct or financial crime risks.
Keith Todd, chairman and chief executive of KRM22, said the partnership with Neotas would deliver more ways for customers to reduce the cost and complexity of risk management using the company’s GRP, which would now provide firms with a “cost effective” way of addressing their operational and reputational risk throughout hiring processes, background checks.
In a note, analysts at KRM’s ‘house’ broker finnCap said the partnership added “yet further breadth” to the GRP.
“We look forward to further newsflow as the attraction of the GRP continues to grow as it extends to become a single source for risk management solutions in capital markets”, the broker added, reiterating their target price of 100p on the stock.
In mid-morning trading, KRM’s shares were steady at 76.5p.
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