In order to broaden the market penetration of the company’s online banking software internationally, London-based fintech ieDigital wants to purchase Connect FSS.
Connect FSS, a credit union service organization (CUSO) and provider of digital banking technology to credit organizations in the US, was established in 2008 and has its headquarters in Sandy, Utah. Among its offerings include accounts access, extensive core system integration, and lending workflows.
After a “detailed search” lasting a year, ieDigital claims its most recent acquisition will “accelerate its growth plans” and “deliver new and enhanced digital software solutions” to financial services companies and credit unions.
Jerry Young, the CEO of ieDigital, will take on the role of group CEO as a result of the agreement, which will see the two businesses join forces to form the new ieDigital Group. Grant Parry, the president and CEO of Connect FSS, will be appointed as the group’s executive vice president of strategy.
The fintech’s announcement emphasizes that Connect FSS will continue to be a CUSO while Young and Parry’s leadership will “work in synergy” but maintain their distinct names of brands and sites in their respective markets.
The acquisition, according to Young, will “enable us to support an increased number of customers throughout various geographies that we wouldn’t have been able to reach.”
The possibility to “strengthen our technological capabilities with insight from our brand-new peers in the US” is also acknowledged by him.
Additionally, Parry acknowledges the “clear synergy among our two cultures, as well as in regards to technological capabilities and skill sets that we share” and views the deal as “a natural next phase in our development as a business.”