Cognizant buys post-trade processor Meritsoft
Cognizant is buying something again with the acquisition of Dublin-based financial software company Meritsoft.
The Irish firm is best known for its Finbos platform for post-trade processing, an automation solution for managing taxes, fees, commissions, and cash flow functions between financial institutions. Meritsoft’s products are currently used by “five of the world’s eight leading investment banks”.
Financial details of the transaction were not disclosed.
Sean Middleton, president, Cognizant Accelerator, says: ” Meritsoft brings proven automation expertise in case management, regulatory compliance, payment and settlement of claims, and tax and brokerage cash flows to help our clients in transforming their businesses for the digital era.”
According to Cognizant, the two companies have a track record of working together, using Finbos and Cognizant’s managed services and digital operations. The deal will also expand its Software-as-a-Service (SaaS) platforms.
Meritsoft’s private equity investors were Synova and an affiliate of 22C Capital. Both have been working with Meritsoft management since 2015.
Back in January, Cognizant said it will acquire Finland-based IT service management company Samlink and get to look after a shared core banking platform for three firms in the country.
As part of that deal, Cognizant was selected by three Finnish financial institutions, Savings Banks Group, Oma Savings Bank and POP Bank Group – who all previously owned Samlink – to build and operate the platform for digital transformation plans. More than 10% of Finnish banking deposits and loans will be managed by the new platform.