Finance
FINANCE 

MAS Acts as Advisor in Key FinTech Transactions...the Logicscope (London, England) Sale to Markit (London, England) and the GIFTS Software (New York, US) Sale to FIS (Jacksonville, US) 

These sales are representative of the global reach and deep knowledge of the FinTech sector by MAS and the value of properties it represents in finding strategic partners. 

MAS announced the success of two very key FinTech sell side mandates. Mr. Paul Mahady, President of MAS stated, "Both of these transactions were specialized boutique type companies, one in FX post trade messaging/STP solutions, and the other in North American payments/messaging technology. They were sold to very large conglomerates, who could immediately leverage their technology as tuck-ins to their current business, products, and services." 

The Logicscope sale was the result of a strategic process for MAS to find and engage in a transactional dialogue with a partner who could best leverage the current and emerging business of Logicscope.

Jeff Gooch, CEO of MarkitSERV, said "Logicscope will provide MarkitServ with significant capabilities. The company's proven technology is remarkably agile and its low-latency infrastructure and flexible solutions are increasingly in demand. We have been working with the FX industry since October 2010 to provide a complete trade processing solution for market participants. Logicscope's complementary technology and comprehensive product suite will enable us to offer the same standards of trade processing, connectivity and compliance to FX market participants that we currently offer for credit, rates and equity derivatives."

John Barber, CEO of Logicscope, said "We are very excited to become part of the MarkitSERV organisation and to deliver our market-leading services under the MarkitSERV banner. This is very much a case of the whole being greater than the sum of its parts: MarkitSERV will benefit from our established presence and reputation in FX and in turn, our post-trade processing capabilities will be enhanced significantly with the addition of critical functionality like trade confirmation and clearing connectivity. As part of MarkitSERV, we look forward to developing these capabilities to handle even more complex trade workflows and to leverage the opportunity presented by growth in FX volumes and e-trading."

MarkitSERV, jointly owned by The Depository Trust & Clearing Corporation (DTCC) and Markit, provides a single gateway for OTC derivatives trade processing. By integrating electronic allocation, trade confirmation and portfolio reconciliation, MarkitSERV provides an end-to-end solution for post trade transaction management of credit, interest rate, equity and foreign exchange derivatives. MarkitSERV also connects dealers and buy-side institutions to central clearing counterparties and trade repositories.

MAS announced the success of its transaction process to introduce, represent, and negotiate the sale of GIFTS Software (GIFTS) to FIS. This sale culminated a multiyear assignment including business development of third party alliances and subsequently the sale of the business.

FIS, a provider of banking and payments technology, acquired GIFTS Software, a single source provider of integrated funds transfer, Web-based cash management systems and anti-money laundering solutions. MAS was selected by the owner as the sole advisor to develop the exit strategy and find a strategic buyer. Multiple prospective buyers were involved in the process and multiple bids were made for the property. Mr. Jawaid Khan, founder and President of GIFTS stated, “MAS as strategic advisor to the company and shareholders supported our efforts from interaction with potential acquirers, to presentations, to due diligence preparation and data room reviews. Additionally, MAS assisted us enormously when our staff needed to make presentations of the business to potential acquirers. Their assistance was incredibly valuable participating on every conference call across all transaction activities”.

“Paul Mahady, President of MAS, was our advisor from identifying potential strategic partners to guiding us through the entire process. Critically, Paul helped us negotiate the deal and assisted in enhancing the economic value of the transaction through his negotiation advice. He remained engaged until the final day of the transaction”.

This acquisition is expected to enable FIS to offer a fully integrated, licensed or ASP real-time wire transfer solution, eliminating the need for its clients to turn to other providers for these capabilities. The licensed solution has been deployed in conjunction with a number of FIS' core solutions.

The ASP solution is already integrated with FIS' IBS core banking platform and FIS intends to integrate it into the company's other core solutions. MAS had previously introduced GIFTS to FIS/Metavante and advised on the alliance. As Mr Khan stated: “MAS activities on our behalf led to two strategic alliances, one of which, FIS, subsequently became the acquirer of the business.”

 
 
 

 

 

 

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