Broadridge Financial Solutions (NYSE:BR), a leading provider of technology services to public companies and the financial services industry, today announced the acquisition of StockTrans, a leading provider of registrar, stock transfer and record keeping services with over 35 years of experience in the stock transfer agency industry.
The acquisition closed yesterday, March 8th.
Broadridge's strategic acquisition of StockTrans is intended to better address the needs public companies have voiced for lower-cost, more reliable shareholder record maintenance and communication services. StockTrans and Broadridge share an uncompromising dedication to delivering extraordinary service, and together are focused on ways to further reduce corporate issuers' overall costs by aggressively applying technology to registrar and stock transfer processes. Broadridge and StockTrans are delivering these enhanced services in concert with shareholder communications and voting solutions to make the year-round management of these functions easier and more efficient for corporate issuers.
"Acquiring StockTrans is a natural extension of the proxy and shareholder communication services that over 1,600 corporate issuers have chosen Broadridge to perform on their behalf. It also allows us to expand on the experience we have in record keeping services, processing corporate actions and escheatment," said Robert Schifellite, president of Broadridge's Investor Communication Solutions business. "This is an opportunity to apply our proven leading technologies to a broader set of solutions and support even more corporate issuers as they face increasing budget constraints and resource demands, all while increasing transparency through the entire process," Mr. Schifellite explained. He continued, "Broadridge will add value to the stock transfer process by establishing new standards for streamlined processing and communications by leveraging its established processes with over 800 bank and broker-dealer clients that coordinate the existing beneficial stockholder clearance and settlement system."
StockTrans, with over 140 clients throughout the U.S. and around the globe, servicing approximately 60,000 shareholders, was founded in 1976. It will retain its function as a part of Broadridge's Investor Communication Solutions business. "The synergies between StockTrans and Broadridge enable a significantly more streamlined service offering for existing and prospective clients," said Jonathan Miller, president of StockTrans. "As part of Broadridge, our clients and employees benefit from the combined expertise and dedication of our organizations. This positions us to better anticipate and meet client needs in the rapidly changing transfer agency marketplace."
Broadridge is leveraging StockTrans' proven service model and extending the same reliability, innovative thinking and cost efficiencies to the registrar and transfer agency business that it has to proxy and shareholder communications for more than two decades. Broadridge also introduces the highest level of data security to stock transfer services. Broadridge will soon utilize its ISO 27001 certified data centers to manage StockTrans' applications and data. ISO 27001 certification is the world's highest accreditation for information protection and security. Broadridge is one of only nine U.S. data processing services providers to the financial services industry that is ISO 27001 certified.