Vista to acquire DH, merge it with Misys
Vista Equity Partners has entered into an agreement to acquire DH, a Canadian provider of technology solutions to financial institutions, for $2.03bn.
Following the completion of the transaction, Vista plans to merge DH with one of its portfolio companies, the UK-based Misys.
The combined entity is expected to become a major FinTech player, with a global presence employing nearly 10,000 people. It will have a combined revenue of about $2.2bn, serving over 9,000 customers across 130 countries.
Misys offers software solutions for retail and corporate banking, lending, treasury and capital markets, investment management and enterprise risk.
DH chief executive officer Gerrard Schmid said: "The combination of DH and Misys creates a global leader in financial technology, with a broad array of products to serve customers.
“DH brings depth in North America and leadership in payments and lending; while Misys has a strong market position in Europe, the Middle East, Africa, and Asia; and leadership capabilities in banking, capital markets, investment management and risk solutions.”
The transaction is subject to court approval and the approval of DH's shareholders by over 66 2/3% of the votes cast by shareholders present in person or by proxy at the special meeting.
Besides, it is subject to customary closing conditions, including receipt of all regulatory approvals.
The acquisition is expected to be completed before the end of third quarter of 2017.
Headquartered in Toronto, Canada, DH employs over 5,500 people worldwide, with an annual revenues of more than C$1.6bn ($1.2bn).
Misys CEO Nadeem Syed said: "By coming together, we have the opportunity to create a global FinTech leader, positioning us to lead the corporate banking software space, accelerate our cloud-based offerings, and expand our footprint in North America.”
Image:The combined entity is expected to become a major FinTech player. Photo courtesy of stockimages/FreeDigitalPhotos.net.