Metavante, the fintech subsidiary of Marshall & Ilsley Corporation (M&I), has signed a definitive agreement to acquire Brasfield Corporation, an Alabama-based provider of hosted data processing services to community banks, for $15 million.
M&I stock will be used to fund the purchase, which is expected to close in the fourth quarter, pending regulatory approval.
Founded in 2002, Brasfield provides core banking processing and customer services to 46 community banks, all of which use the Bankway platform from Metavante subsidiary Kirchman Corporation. Brasfield also provides cheque and document imaging and cheque exchange services to over 100 community banks.
Paul Danola, president and COO at Metavante's financial solutions group says the acquisition will strengthen the vendor's "community bank strategy" by "offering a hosted solution directly for those banks that want to use the Kirchman Bankway software".
Rachel Landrum, Metavante SVP and Kirchman president, adds: "Acquiring a leading data centre helps us assure continued processing service delivery to existing clients and a way to provide potential new clients with an attractive outsourcing option for the Bankway solution."
Follwing the acquisition, Brasfield will become a Metavante subsidiary and continue to operate under its own name.
Highly-acquisitive Metavante has already purchasesd a number of small vendors this year including GHR Systems, a provider of loan origination software, AML technology firm Prime Associates and Treev, a supplier of document management software and consulting services to financial firms.