TORONTO 724 Solutions Inc. said last week that it plans to buy privately held Tantau Software Inc. for about $375 million in stock in a deal that would link two providers of wireless software to the financial services industry.
724 has a strong foothold in North America, its investors and customers including Citigroup Inc., Bank of America Corp., Bank of Montreal, and Wells Fargo.
Tantau counts Credit Suisse Group, Commerzbank, and Barclays Bank of the United Kingdom as customers in Europe, and last month added Chase Manhattan Corp. to its client list.
Adding Tantau would give 724 Solutions 650 employees 500 in North America, 100 in Europe, and 50 in Asia. Through its financial institution customers, it will serve 270 million consumers worldwide.
The companies expect to have a combined product on the market in six months.