BROOKFIELD, Wis. Fiserv reported an 11% decline in first quarter net income to $117 million, due to costs associated with its acquisition of Open Solutions Inc.
Fiserv took a $40-million charge in the first quarter for merger and integration costs related to the Open Solutions deal, the company reported yesterday. “We are pleased with our progress on the integration of Open Solutions and the positive client reaction to our broad array of leading solutions,” said Jeffery Yabuki, president of Fiserv.
Fiserv acquired Open Solutions in January from private equity fund The Carlyle Group for $55 million and the assumption of $960 million of debt. The deal added 3,300 clients, including 800 new account processing clients, the majority of which are on the DNA account processing platform, to Fiserv’s client base.
First quarter revenue was up 5% to $1.15 billion.
