A private equity firm has merged the vendors and is touting the combined provider as the world’s “third-largest financial services technology company.”
Misys and D+H, both owned by private equity firm Vista Equity Partners, have completed their previously announced merger and are now “a diversified global financial software provider,” to be named Finastra.
Misys, a London-based provider of banking, trading and securities operations software, and D+H, a Canadian vendor offering lending, payments and financial solutions, announced in March that a merger was underway.
Targeting financial services firms, D+H offers solutions for lending, payments, treasury support, enterprise efforts and retail transactions.
Under the new umbrella of Finastra, the combined provider will offer a variety of lending and payment solutions that began with D+H, and retail and corporate banking, lending, treasury and capital markets, investment management and enterprise risk offerings that originated with Misys.
Vista officials decided that marriage was the best option for the two software houses after it acquired D+H for an undisclosed amount. Vista Equity Partners owns Misys after acquiring the vendor in 2012 for approximately $2 billion.
Vista, which has already overhauled Misys, manages private equity funds, credit funds, and a public equity market fund. The firm is known for investing in companies of the enterprise software, data, and technology sectors.
The newly formed Finastra, which will be privately held, will constitute “approximately 10,000 employees and over 9,000 customers across 130 countries, including 48 of the top 50 banks globally,” according to the official release about the merger.
The websites for Misys and D+H will still be live as Finastra takes shape.
“As we take steps to fully integrate Misys and D+H over the coming months, this site will expand to become the future home for all information about our new company,” according to a message on www.finastra.com. “In the meantime, we encourage you to utilize misys.com and dh.com for your business as usual needs and visit this website for regular updates.”
The creation of Finastra “follows the acquisition of D+H by Vista Equity Partners, which already owns Misys, creating a merger of two highly complementary financial technology providers,” officials add.
The new company, Finastra, will be headed by Nadeem Syed who will serve as CEO.
An industry veteran, Syed has served as CEO of Misys and has more than 27 years of experience overseeing global technology companies “through transformation and growth,” officials say. The combined company will have $2.1 billion in revenues, based “on a trailing 12 months pro forma basis,” officials add. It will have offices in 42 countries and will have headquarters in London and will maintain North American headquarters in Toronto, Canada.
Finastra will offer products and services for:
- retail banking;
- transaction banking;
- lending;
- And treasury and capital markets.
Finastra’s client base will include global banks, community banks, credit unions, and corporations.
“We firmly believe that Finastra is greater than the sum of its parts,” says Robert Smith, founder, chairman and CEO of Vista Equity Partners, in a prepared statement.
Based in the U.S., Vista has offices in Austin, Texas; San Francisco; Chicago; and Oakland, Calif. The firm has more than $30 billion in cumulative capital commitments, officials say.
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