Jack Henry & Associates has entered into a definitive agreement to acquire Payrailz for an undisclosed fee.
Payrailz provides cloud-native, API-first, AI-enabled consumer and commercial digital payment solutions and experiences that enable money to be moved in the moment of need, and banks and credit unions to successfully compete with industry disruptors.
According to Jack Henry, acquiring Payrailz supports its next-generation tech strategy that helps banks and credit unions innovate faster and meet the evolving needs of consumer and commercial account holders.
In addition, the firm remarked that the acquisition reinforces the firm’s mission to strengthen the connections between people and financial institutions through tech and services that reduce the barriers to financial health.
The acquisition is anticipated to close of August 31, 2022.
Jack Henry president and COO Greg Adelson said, “We are excited about the opportunity to add these next-generation solutions to our payments capabilities. Our company is engaged in technology modernization that is supporting banks and credit unions with innovative solutions that enable them to respond to business opportunities and challenges, and to improve the financial health of their accountholders.
“Considering the importance of modern digital and payments strategies to financial institutions, we plan to acquire Payrailz as a strategic addition to our payments ecosystem, which enables our clients to simplify the complexity of payments, modernize their existing payment channels, and remain at the center of their account holders’ payment experiences.”
Payrailz CEO and founder Fran Duggan added, “We are confident joining Jack Henry is in the best interest of our clients and our associates. As part of Jack Henry, we have the opportunity to leverage its financial strength and stability, extensive operational infrastructure, and industry, payments, and security expertise. Joining Jack Henry also enables us to build on our market reputation and accelerate our vision of providing smarter payment experiences.
“This acquisition provides significant growth opportunities with frictionless access to Jack Henry’s existing clients and offers our clients peace-of-mind that Jack Henry has a long-term commitment to investing in the Payrailz platform and shares our service culture and standards. We are sincerely excited to join one of the industry’s most respected and successful FinTechs.”
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