20 October 2017
visit www.atos.net

Temenos agrees Odyssey acquisition

28 September 2010  |  12295 views  |  0 handshake

Temenos has inked an $81 million deal to buy Luxembourg-based Odyssey Financial Technologies, which provides application software to the private banking and wealth management (PWM) market.

The Swiss core banking vendor will pay $81 million, through a combination of existing cash and facilities but is also taking on Odyssey's existing debt obligations of $20.3 million.

The deal has already received sufficient irrevocable shareholder undertakings to be approved and is expected to close around the middle of October. It is earnings neutral for 2010, but is expected to be around six per cent accretive to earnings in 2011.

The acquisition sees Temenos add the Triple'A Plus and WealthManager products - installed at about 110 financial institutions - to its T24 Private Wealth offering. This will make it the clear market leader, with pro-forma annual revenues of around $130 million.

The vendor claims this market is likely to enjoy strong growth of around 25% CAGR between 2010 and 2012 as banks switch from in-house spending to third party licences in order to improve business responsiveness and organisational efficiency.

However, it also says the structural drivers underpinning growth in the PWM market are even more compelling with expanding high-margin private banking activities highly desirable for firms bidding to rebuild their balance sheets and achieve high returns in an era of lower leverage.

Meanwhile, customers and regulators are both demanding more transparency and simpler products, forcing banks to revisit their business models while the traditional offshore model is coming under pressure from collective government action to tighten tax avoidance.

Andreas Andreades, CEO, Temenos, says: "The combination of Temenos' Private Banking business and Odyssey creates a powerhouse in PWM application software - a business with the scale to out-sell and out-innovate competition and gain significant market share. The combination brings together the best-selling core banking platform with the best-selling front office applications, offering both sets of customers as well as new prospects an integrated yet best-of-breed back-to-front offering, which we believe will be a highly compelling proposition in the market.

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

Temenos buys m-banking firm FE-Mobile

Temenos buys m-banking firm FE-Mobile

11 May 2010  |  8881 views  |  0 comments
Temenos posts full year operating profit rise

Temenos posts full year operating profit rise

18 February 2010  |  7426 views  |  0 comments
Wealth management IT spending to pick up in 2010 - Celent

Wealth management IT spending to pick up in 2010 - Celent

07 January 2010  |  13007 views  |  0 comments
Temenos spends $81m on French core banking outfit Viveo

Temenos spends $81m on French core banking outfit Viveo

06 January 2010  |  15549 views  |  0 comments
Temenos and Microsoft form core banking alliance

Temenos and Microsoft form core banking alliance

10 December 2009  |  9522 views  |  0 comments
Odyssey creates Glasgow jobs with new software development centre

Odyssey creates Glasgow jobs with new software development centre

20 November 2009  |  4571 views  |  0 comments
Temenos cost-cutting takes bite out of revenue dip

Temenos cost-cutting takes bite out of revenue dip

03 August 2009  |  6250 views  |  0 comments
Odyssey acquires Canadian wealth management outfit Xeye

Odyssey acquires Canadian wealth management outfit Xeye

23 January 2008  |  5428 views  |  0 comments
Odyssey acquires Reuters portfolio management product

Odyssey acquires Reuters portfolio management product

30 November 2005  |  8792 views  |  0 comments

Related company news

 

Related company information

Temenos – The Banking Software Company
visit www.innotribe.comvisit www.capgemini.comvisit www.fivedegrees.nl

Top topics

Most viewed Most shared
satelliteGates Foundation backs Ripple collaboratio...
8394 views comments | 13 tweets | 10 linkedin
HSBC partners Bud for open banking trialHSBC partners Bud for open banking trial
8208 views comments | 21 tweets | 26 linkedin
IBM uses blockchain to improve cross-border payments processingIBM uses blockchain to improve cross-borde...
7370 views comments | 9 tweets | 17 linkedin
Sibos 2017: API or the highwaySibos 2017: API or the highway
6746 views comments | 10 tweets | 21 linkedin
Eight banks form joint venture to launch blockchain trade platformEight banks form joint venture to launch b...
6408 views comments | 14 tweets | 23 linkedin

Featured job

Competitive base, double ote, benefits
London, UK

Find your next job