NCR agrees $1.65bn Digital Insight acquisition
03 December 2013 | 4153 views | 0
NCR has struck a $1.65 billion deal to buy online and mobile banking specialist Digital Insight from private equity firm Thoma Bravo. Separately, NCR has also closed the $84 million acquisition of Alaric Systems.
The Digital Insight news comes just months after Thoma Bravo acquired the business from Intuit for $1.025 billion, promising to back the unit with the leadership and resources needed to scale.
ATM manufacturer NCR says that the acquisition will boost its presence in online and mobile channels as it bids to offer banks a complete enterprise software platform.
The deal should also help the vendor in the mid-market retail banking segment, where Digital Insight has a strong presence, counting more than 1000 financial institution customers, with 12 million online banking users and nearly 4.8 million mobile users.
UK-based Alaric Systems provides secure transaction switching and fraud prevention software for ATM, POS, e-commerce and mobile payments.
Bill Nuti, chairman and CEO, NCR, says: "Today, we are fundamentally and permanently changing our largest line of business, Financial Services. With the announcements of our agreement to purchase Digital Insight and our acquisition of Alaric Systems, NCR becomes a powerful, global FinTech solutions provider enabling retail banks to deliver on the promise of omni-channel capabilities - on top of an unparalleled, innovative software platform."
The Digital Insight transaction is expected to close in the first quarter of 2014. Both the Digital Insight and Alaric Systems deals should boost 2014 adjusted earnings.