Episode 011 - FOCUS-ON-FINTECH Series, Molecule Software with Sameer Soleja, CEO

Introduction

• Welcome to Distilling Venture Capital. I am your host, Bill Griesinger;

Distilling VC is a visionary podcast that provides an insightful and informed view of the key trends affecting the VC and tech startup world. My mission is to cut through and go beyond the hype that tends to dominate the tech and VC landscape. And provide you with information you can use. [This intro para. is pre-recorded so you won´t hear it]

Episode Introduction:

• Welcome back everyone. We took December 2020 and the beginning of the New Year off – so I am definitely excited to be back providing you with the quality content you´ve come to rely on at DVC.
• Today's Episode is another in my Focus-on-Fintech Series where I provide you with a close-up look into the top companies in the Financial Technology sector that are bringing new innovations to financial services markets globally;
• In today's Episode, I have the pleasure to be joined by Sameer Soleja, Founder & CEO of Houston-based Molecule Software;
• Molecule Software, founded in 2012, is billed as the world´s most modern, advanced full-service ETRM/CTRM. We´re going to talk about what that means and define the market itself – for those not as well versed in it – which includes me -
• Sameer, thank you for making the time to join me today; you are our first Episode of 2021.

In Today's Episode we Will Cover:

• Let´s start by Defining the Business you are in & Creation of the Company:
• • So, for those of us who are not as familiar with the ETRM/CTRM landscape, how would you describe or define the industry itself that Molecule is engaged in?
  • And, we are going to get into some of the key features, benefits and competitive advantages that make the Molecule solution so game-changing to the industry;
  • But first, can you describe/talk about what it was you saw in the ETRM/CTRM market, before 2012, that led you to create the company? What was it about competitive offerings that prompted you and your team to spend the effort creating and building Molecule? Who were/are the vendors and what were they offering?
  • How close would you consider Molecule today to be what you set out to build in 2012? What were driving factors behind these adjustments?

• Business Model Characteristics/Features & Benefits/Competitive Advantages
• • Go-to-market; Talk about your prospective clients´ view on embracing a cloud-based data solution;
  • Info on your website mentions that roughly 75% of customer spend on ETRM/CTRM systems has historically been on installation & implementation, noting this is `waste`; Talk about how your cloud-based solution eliminates costs for clients while at the same time, vastly improves their access to reliable data information.
  • Disaggregation of solutions & functionality – discuss what this means and how your solutions addresses this and more.
  • You note on your website; "Deal Capture, Mark-to-Market, Black-76, and VaR math are not proprietary in the least."
• What's important is your reporting, your custom models, and your data feeds — all being integrated into customized reports.
• • What's been the hardest thing for potential customers (and investors!) to understand about the value Molecule provides? How do you manage that?

• New Product – Can you talk about Elektra?
• • New power markets package for independent power producers, hedge funds, hedge advisors, and power utilities.
  • With Elektra, Molecule is the ETRM that provides the most automated and transparent (i.e. modern) visibility into P&L, position, and risk exposure for a large variety of power trades.

• Key market characteristics re adoption? you´ve previously touched on what you see as 3 Macro Factors:
• 1. Consolidation in the market
  2. Reluctance to pay millions of $$ for mega-development and installation projects
  3. There was slowing pace of innovation in general; clients will spend less, not more, on these platforms

• Is there a story behind the Molecule name?

• Additional Capital Required to Grow?
• • Whatever you are at liberty to or want to discuss here – if anything; Didn´t know what your future capital-raising plans were…
  • Would you do anything differently along your fundraising path knowing what you do today?

Closing Remarks:
Sameer, thank you very much for joining me today…I appreciate your time. I would love to do a follow-up sometime to check in on Molecule…

Contact Information, Molecule

• Sameer, how can those seeking additional information and wishing to learn more about Molecule contact you or the firm?
• Website: www.molecule.io
• Social Media (if applicable):
• Company Email: for information/inquiries

Thank you for joining me for this edition of DVC. I hope you found today's discussion with Sameer Soleja and Molecule interesting and it gave you things to think about regarding developments in the ETRM/CTRM marketplace.

Stay tuned for my next Episode…