Startup looks to launch digital lumber exchange
Connamara Systems, an exchange solutions and custom software provider for capital markets, is partnering with MaterialsXchange to build a new dimensional lumber exchange.
MaterialsXchange is a Chicago-based startup electronic marketplace for buying and selling raw materials.
The first commodities MaterialsXchange will address are dimensional lumber and wood products with the exchange expected to go live by the fourth quarter of 2019.
The plan calls for MaterialsXchange to bring an ecommerce solution, in the manner that modern capital markets work, while using Chicago-based Connamara’s Exchange Platform 3 (EP3), a highly customizable exchange platform product.
“MaterialsXchange has a deep understanding of the industries involved in raw materials,” said Jim Downs, CEO of Connamara Systems. “They have an ambitious vision to develop marketplaces for these industries and our EP3 technology, alongside our prior experiences building exchanges and working with entrepreneurial leadership, makes for a great combination.”
Regarding the lumber buying market, the companies said that it’s currently highly fragmented, requiring a complex, cumbersome, and entirely manual process between a buyer and seller to complete transactions, “making it ripe for digital disruption.”
“We recognized the need for a firm that has not only the technological expertise, but the capital markets know-how necessary to bring our vision for MaterialsXchange to reality,” added Michael Wisnefski, CEO and founder of MaterialsXchange. “Connamara’s technology expertise and experience with the unique requirements for our exchange product make them the perfect fit for this project.”
MaterialsXchange is a Chicago-based startup electronic marketplace for buying and selling raw materials.
The first commodities MaterialsXchange will address are dimensional lumber and wood products with the exchange expected to go live by the fourth quarter of 2019.
The plan calls for MaterialsXchange to bring an ecommerce solution, in the manner that modern capital markets work, while using Chicago-based Connamara’s Exchange Platform 3 (EP3), a highly customizable exchange platform product.
“MaterialsXchange has a deep understanding of the industries involved in raw materials,” said Jim Downs, CEO of Connamara Systems. “They have an ambitious vision to develop marketplaces for these industries and our EP3 technology, alongside our prior experiences building exchanges and working with entrepreneurial leadership, makes for a great combination.”
Regarding the lumber buying market, the companies said that it’s currently highly fragmented, requiring a complex, cumbersome, and entirely manual process between a buyer and seller to complete transactions, “making it ripe for digital disruption.”
“We recognized the need for a firm that has not only the technological expertise, but the capital markets know-how necessary to bring our vision for MaterialsXchange to reality,” added Michael Wisnefski, CEO and founder of MaterialsXchange. “Connamara’s technology expertise and experience with the unique requirements for our exchange product make them the perfect fit for this project.”