Transaction · Payments · 2020

IBM / Expertus Technologies 2020

IBM acquired Expertus Technologies on December 15, 2020.

Target
Expertus Technologies
Acquirer
IBM
Announced
December 15, 2020
Sub-sector
Payments

Transaction overview

  • IBM announced the acquisition of Montreal-based Expertus Technologies on December 15, 2020.
  • Consideration structure and deal price were not disclosed in the announcement.
  • Expertus joined IBM Global Business Services upon close, building on a prior alliance with IBM Payments Center Canada.
  • Expertus provides cloud-based payment and treasury management software to banks, credit unions, regulatory agencies, and corporates.
  • More than 1,000 entities process an average of over $50 billion daily on the Expertus payments platform.
  • Expertus is one of the largest North American services bureaus of SWIFT, which connects 11,000 financial institutions in over 200 countries.
  • IBM cited a more than $100 billion consulting and business process services opportunity in banking and financial markets over the next few years.
  • The deal followed IBM's acquisition of SAP consulting partner TruQua the prior month.

Why it matters

  • IBM framed the addressable opportunity in banking and financial markets consulting at more than $100 billion over the next few years, per Gartner estimates.
  • Expertus' SWIFT bureau status gives IBM direct access to a global network of 11,000 financial institutions across more than 200 countries.

Strategic rationale

Expand digital payments portfolio and hybrid cloud AI strategy; provide financial institutions secure payment-as-a-service solutions.

Deal terms & multiples

Deal value
Target revenue
Target EBITDA
EV / Revenue
EV / EBITDA
Announcement
December 15, 2020
Acquirer
IBM (Strategic)
Sub-sector
Payments

About Expertus Technologies

Expertus Technologies is a Montreal-based fintech company that provides cloud-based payment and treasury management software to financial institutions. More than 1,000 entities, including banks, credit unions, regulatory agencies, and corporates, process an average of over $50 billion daily on its platform. The company is also one of the largest North American services bureaus of SWIFT. Jacques Leblanc founded and served as CEO of the company prior to the acquisition.

Key metric
Over $50 billion processed daily across 1,000+ client entities

Frequently asked questions

When did IBM acquire Expertus Technologies?

IBM announced the acquisition on December 15, 2020. The deal closed on the same date per the press release.

How much did IBM pay for Expertus Technologies?

The purchase price was not disclosed in the announcement.

What does Expertus Technologies do?

Expertus provides cloud-based payment and treasury management software. More than 1,000 entities process an average of over $50 billion daily on its platform.

Where is Expertus Technologies headquartered?

Expertus Technologies is headquartered in Montreal, Canada.

Why did IBM acquire Expertus Technologies?

IBM cited expansion of its hybrid cloud payments portfolio and access to a more than $100 billion consulting opportunity in banking and financial markets. Expertus also brought SWIFT bureau capabilities covering 11,000 financial institutions in over 200 countries.

Which IBM division did Expertus join after the acquisition?

Expertus became part of IBM Global Business Services, building on a prior alliance with IBM Payments Center Canada.

Sources

  • prnewswire.com /news-releases/ibm-acquires-expertus-technologies-inc-to-expand-hybrid-cloud-digital-payment-solutions-301193468.html