US-based banking technology provider Jack Henry has acquired Victor Technologies to expand its Payments-as-a-Service (PaaS) capabilities and strengthen its position in embedded payments.
Jack Henry purchased the company from MVB Financial Corp on 30 September. While terms remain undisclosed, MVB expects to generate a pre-tax gain of approximately $33 million from the sale.
MVB says the transaction provides “greater flexibility to pursue certain balance sheet and capital management strategies, which may include a repositioning of some portion of the available-for-sale securities portfolio, share repurchases and/or other capital and earnings optimization strategies aimed at enhancing shareholder value over time”.
Founded in 2021 by MVB Bank, a Jack Henry core client, Victor enables banks to offer embedded payment services directly to fintechs and commercial customers, processing “billions of dollars” each month, according to Jack Henry.
Current capabilities include disbursements, receivables, cross-border, escrow, title, and e-commerce, with support for virtual accounts and digital wallets.
It is already integrated with its Silverlake core banking system and JHA PayCenter, and Jack Henry plans to further expand Victor’s services to Symitar clients, and integrate the technology with its core banking platform.
The purchase builds directly upon the earlier acquisition of Payrailz in 2022, which enabled Jack Henry to build out its PaaS strategy with embedded capabilities across real-time person-to-person (P2P), account-to-account (A2A), and business-to-customer (B2C) payments.
Source: https://www.fintechfutures.com/
