US financial software firm S1 Corp to buy Israel’s Fundtech for $700 mn

S1 Corp, a US-based provider of financial services software solutions today agreed to buy Israel's Fundtech Ltd, in a stock deal valued at about $700 million.

The combined company will be an industry leader in transaction banking solutions with best-of-breed technology that addresses a broad range of payment types, from card payments made by consumers to wire transfers made by large corporations, said S1 Corp in a statement.

Founded in 1993, Tel-Aviv-based Fundtech is a provider of software and services to more than 1,000 clients throughout the world. Payments systems include wire transfers, ACH origination, cross-border payments and remittance. Cash management systems are designed for large corporate through small business clients.

Fundtech operates the world's largest SWIFT service bureau including electronic invoice presentment and supply chain financing. It is also the leading provider of CLS systems to the world's largest banks.

It operates in Thailand, Malaysia, Philipines, Indonesia and few other countries in Asia including India.

Fundtech has its office in Pune, which manages more than 10 lakh on-line transactions for HDFC in a day during peak periods.