Velocity Solutions, a software developer for banks, has been acquired by private equity firm H.I.G. Capital.
As part of the transaction Velocity Solutions’ senior management team will invest in the company and hold a minority stake.
Florida-based Velocity Solutions develops software and technology solutions for banks, credit unions and insurers to help drive revenue, maintain compliance and manage risk. The company’s ‘Intelligent Limit System’ customises overdraft limits daily for for each account holder based on their ability to repay.
Alongside this the company offers technology that leverages data to drive increased activity through marketing campaigns, or reward deployments for financial institutions and insurers. Recently Velocity launched a new offering, CashPlease, which enables banks and credit unions to provide short-term loans.
H.I.G. managing director Keval Patel said, “Velocity represents an attractive opportunity to invest in the marquee third-party overdraft and account activity enhancement solutions provider in the market.â€
William Blair & Company LLC served as the exclusive financial advisor to Velocity for the deal and McDermott, Will & Emery LLP acted as legal counsel to H.I.G.
Late last month, Core10, a software developer for FinTech companies, secured a $3.5m Series A round led by FINTOP Capital.
Copyright © 2017 FinTech Global
