Open Solutions Inc. announced that seven credit unions that use its FiTECH MANAGER GOLD core processing system have signed contracts for its e-Commerce Banker(e-CB) suite of web-based financial services. They are: 1st Choice CU, Atlanta; Vermont State Employees CU, Montpelier; Woods CU, Oklahoma City, Okla.; Taylor CU, Medford, Wis.; LA Financial FCU, Pasadena, Calif.; VAC FCU, Shreveport, La., and OMEGA FCU Pittsburgh. Vermont State Employees, LA Financial FCU and VAC FCU have also signed agreements to take advantage of Open Solutions' core processing solution, The Complete Credit Union Solution.
Meanwhile, Open Solutions Inc. has reached an agreement to acquire Canadian-based Datawest Solutions Inc., a provider of core data processing and payment technology solutions in Canada. OSI is acquiring all of Datawest for (C) $1.23 per Common Share (approximately US 95 cents) for 29,824,126 Common Shares and (C) $2.60 per Preferred Share (approximately US $2) for 5,000,000 Preferred Shares. If approved by Datawest's shareholders, the deal is to close in Open Solutions' fourth quarter. Open Solutions said it believes that this transaction will enable it to expand its product offerings and market presence into the Canadian and international marketplaces. Datawest's payment business manages Canada's largest ATM network.
Separately, OSI has made an equity investment in Open Technology Solutions, a Colorado-based CUSO that allows credit unions to share technical expertise and systems, and to achieve better operational efficiencies. OTS currently runs Open Solutions' technology solutions in a CUSO environment for two of Open Solutions' clients, Colorado-based Bellco Credit Union and New York-based Bethpage FCU, which cofounded the CUSO.
Additionally, OSI said that to date 18 credit unions have signed agreements to install its relational enterprise data processing suite, TCCUS, to handle the institutions' retail transactions, loan servicing and integration strategies. Each credit union is migrating from Open Solutions' FiTECH MANAGER GOLD system. OSI acquired FiTech in July 2003.
Separately, OSI reported that Hawaii Impulse Systems, Inc. (HIS), a CUSO for credit unions throughout Hawaii, has selected TCCUS to handle data processing for its organization. It will do so via its data center. Hawaii Impulse Systems currently serves 41 credit unions, or more than one-third of those in the state.
In searching for a data processing platform, the CUSO said one of its main objectives was to adopt a solution that could support the increasing needs of its growing credit union base well into the future. The CUSO chose Open Solutions' relational enterprise core processing product suite for its flexible structure and enhanced operational efficiency. Hawaii Impulse Systems will implement several other products from the Open Solutions suite of technology applications.
For info: www.opensolutions.com.
