Odyssey Financial Technologies joins forces with Temenos
Luxembourg - 28 September 2010
Odyssey Financial Technologies (Odyssey), a global provider of front- and middle-office software for the Private Banking and Private Wealth Management industries, is pleased to announce that it will join forces with Temenos (SIX: TEMN), the market leading provider of core banking software. The agreement for Temenos to acquire Odyssey Group S.A. has been signed today. The consideration is USD81.0m (EUR62.1m), but Temenos will take on Odyssey’s existing debt obligations of approximately USD20.3m, translating into a total enterprise value of USD101.3m (EUR77.7m). Odyssey’s shareholders include Odyssey’s management team, notably its Chairman and co-founder Antoine Duchateau, and funds managed by Apax Partners SA. The deal has already received sufficient irrevocable shareholder undertakings to be approved and is expected to close around the middle of October.
In addition to the Temenos T24 Private Wealth product, both the Triple’A Plus™ and the WealthManager™ products will become part of Temenos product portfolio. The investment in these products will be protected and overall investment increased to provide the strongest full front-to-back solution coverage in the Private Banking and Wealth Management (PWM) software market - both for mass affluent and for high net worth individuals. The combined PWM business is expected to generate pro-forma annual revenues of around USD130m – significantly more than any other vendor in the space.
Antoine Duchateau, founder and Executive Chairman of Odyssey, comments, “Odyssey has enjoyed solid growth notably thanks to its extremely strong product set. The combination with Temenos will enable Odyssey to get to the next level and capture the tremendous opportunities available in our market. The deal will create a clear market leader in PWM application software and generate significant opportunities for our customers and for our people. Odyssey products will directly benefit from the scale and geographical breadth of Temenos’ R&D and Services organization. As a result we are looking forward to being able to offer our customers an accelerated and compelling product roadmap in PWM as well as a larger more global implementation capacity.”
Andreas Andreades, Temenos CEO, adds, “The combination of Temenos’ Private Banking business and Odyssey creates a powerhouse in PWM application software – a business with the scale to out-sell and out-innovate competition and gain significant market share. The combination brings together the best-selling core banking platform with the best-selling front office applications, offering both sets of customers as well as new prospects an integrated yet best-of-breed back-to-front offering, which we believe will be a highly compelling proposition in the market.”