Mr. Reuven Ben-Menachem will continue to serve as Chief Executive Officer of the Company, which will no longer trade on the Nasdaq Global Market or the Tel Aviv Stock Exchange following the completion of the transaction. American Stock Transfer LLC has been appointed as the paying agent under the merger agreement and will shortly be sending out to shareholders of record information regarding the exchange of their shares for merger consideration. Shareholders should not send their share certificates to the paying agent until they receive appropriate instructions.
The consolidated organization, which combines Fundtech with GTCR-affiliated BankServ, will have expanded product lines in wholesale banking and will add significantly to Fundtechâs line of small-to-medium business products. The combination also brings together Fundtechâs experience as the leading supplier of advanced software technology to large financial institutions with BankServâs experience as the leading provider of SaaS to community and regional banks.
Dave Kvederis, BankServâs CEO, will become a member of Fundtechâs Board of Directors.
The combined company expects to add significant value to its products by tightly integrating them. For example, combining BankServâs Remote Deposit Capture products with Fundtechâs cash management products will create greater end-user utility and improved user experience. Both companies are innovators in SWIFT for Corporates service bureau business, and both are innovators in mobile financial services.
"The future of payments technology revolves around the more demanding digital customer," said Nancy Atkinson, senior analyst, Aite Group. "Fundtech and BankServ's union will offer customers a wide spectrum of cutting edge payments solutions. This ranges from a robust SOA platform for larger firms striving to revamp legacy technology all the way to SaaS applications for smaller firms to drive innovation while maintaining cost efficiency."
"Todayâs banking customer requires a tailored approach to cash management. Capabilities such as remote deposit capture (RDC) alongside payments and electronic invoicing are in high demand, particularly via multiple channels including mobile,â said Bob Meara, senior analyst, Celent. âthe combination of BankServ and Fundtechâs will help satisfy these new customer demands by providing banks of all sizes with an expanded cash management offering."
The combined company has estimated 2011 revenues of $200 million; and 1,300 employees who are active in every region of the world.