Canadian financial technology firm D+H is going to acquire global payment services provider Fundtech for $1.25 billion in cash. The move fits in the strategy of D+H to expand its service offerings aimed at global financial institutions and large U.S. banks. This is the second big buy in the fintech world in a short time after OpenText (also Canadian) buying GXS.
New York-based Fundtech, with some 1,500 employees and 19 offices globally, provides a comprehensive line of transaction banking software that facilitates global and domestic payments, along with financial messaging, corporate cash management and merchant services.
The Fundtech acquisition deepens the U.S. customer base for D+H and broadens its prospects in North America. With Fundtech D+H will now service eight of the top 10, and 32 of the world’s top 50 banks, along with about 190 of the top 300 U.S. banks.
Fundtech providers services like:
- Payables
- Receivables
- Balance and Transaction Reporting
- Cash Flow Forecasting
- Corporate Liquidity Management
- Supply Chain Finance
- E-Trade
- Remittances
- Electronic Invoicing
Gerrard Schmid, D+H CEO:
“Payments are massively important to banks these days and Fundtech is a market leader in payment hubs,” said in an interview, adding that this deal will give D+H scale in a technology area that is currently very relevant for banks as payment systems are evolving rapidly.”
