NCR, a provider of consumer transaction technologies for the financial services business, has agreed to purchase online and mobile banking solutions provider Digital Insight Corporation for $1.65 billion.
The company has also completed the acquisition of Alaric Systems Limited, a provider of secure transaction switching and fraud prevention software, for a purchase price of approximately $84 million.
Based in Menlo Park, California, Digital Insight is majority owned by Thoma Bravo.
Based in London, U.K, Alaric Systems delivers payments processing and fraud prevention software that allows financial institutions, processors and retailers to manage ATM, point of sale, ecommerce and mobile payment or banking transactions, deliver complex multi-channel payments integration and carry out enterprise fraud and risk management.
The Alaric Systems solution set includes the Authentic payments and Fractals fraud prevention technologies.
Together the companies will position NCR to deliver an enterprise software stack that securely and seamlessly creates a differentiated consumer experience across all channels (online, mobile, ATM, branch) improving a retail bank’s growth, profitability and customer satisfaction.
They will also complement and extend NCR’s existing capabilities in the banking industry to form a complete enterprise software platform that will deliver a unique and compelling consumer experience across all digital and physical channels – mobile, online, branch, and ATM, NCR said.
The combination will help retail banks and other financial institutions reduce legacy costs and enable solutions for new, more nimble branches, by providing one platform for omni-channel services and all payment and transaction types.
Today’s announcement follows the successful acquisitions of Retalix and Radiant Systems that have transformed NCR’s Retail and Hospitality businesses by delivering revenue growth, improved profitability, and an increased revenue mix of software and SaaS for NCR, the company said.
NCR chairman and CEO, Bill Nuti says the agreement to purchase Digital Insight and the acquisition of Alaric Systems makes NCR 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.
With the addition of Digital Insight, NCR will also enhance its ability to serve the mid-market retail banking segment, which includes Digital Insight’s highly diversified customer base consisting of more than 1,000 financial institutions with 12 million online banking users and nearly 4.8 million mobile end users.
The Digital Insight acquisition will also provide an opportunity for NCR to offer its clients additional solutions for mobile, bill pay and online banking.