Private equity firm Vista Equity Partners has agreed to acquire D+H, a Canada-based provider of financial software solutions.
Vista intends to merge D+H with British software company Misys, which it acquired for £1.27bn ($2bn) in 2012.
The merger of D+H and Misys would create a fintech firm with $2.2bn in revenue, around 10,000 employees, and more than 9,000 customers across 130 countries, including 48 of the top 50 Banks, Vista said.
Commenting on the deal, D+H CEO Gerrard Schmid said: “By combining D+H with Misys Vista will be creating a global leader in financial technology, with a broad array of products to serve customers. D+H brings depth in North America and leadership in payments and lending; while Misys has a strong market position in Europe, Middle East, Africa and Asia and leadership capabilities in banking, capital markets, investment management and risk solutions.
“I believe this transaction is beneficial to our customers, shareholders and employees. We look forward to working closely with Vista and the leadership team at Misys to complete this transaction.”
Misys CEO Nadeem Syed said: “By coming together, we have the opportunity to create a global Fintech powerhouse, positioning us to lead the corporate banking software space, accelerate our cloud-based offerings, and expand our footprint in North America.”
Vista Equity Partners co-founder and president Brian Sheth said: “D+H is an outstanding company with impressive talent and deep experience providing technology solutions to financial institutions worldwide. Over the last five years we have worked closely with the Misys management team to transform and grow its global business and this is a great next step in that process. Together, Misys and D+H have the promise to shape and lead the future of financial software.”
The combined entity will be privately held following the completion of the transaction at the end of the third calendar quarter 2017.