S1 Merges With Fundtech
ATLANTA – Online services provider S1 Corp. announced this morning it is combining with Fundtech Ltd., a Jersey City-based provider of software and services to credit unions and banks, in a stock-swap merger of equals.
S1 is a global provider of payments and financial services software solutions to more than 3,000 financial institutions in more than 75 countries. Fundtech is a global provider of software solutions and services that facilitate payments, settlement and cash management for more than 1,000 financial institutions in more than 70 countries.
After closing, S1 shareholders will own 55% of the new entity and Fundtech shareholders 45%.
The combined company will be headquartered at S1's headquarters in Atlanta and will be called Fundtech. Johann Dreyer, the CEO of S1, will serve as CEO of the combined company, and Reuven BenMenachem, the head of Fundtech, will serve as executive chairman.
Fundtech's largest shareholder, Israel-based Clal Industries and Investments Ltd., which currently owns approximately 58% of the outstanding shares of Fundtech, has entered into a voting agreement with S1 to vote in favor of the transaction.
S1 and Fundtech expect to complete the merger in the fourth quarter of 2011.