Banco Ficohsa completed the purchase of Banco Citibank de Honduras, S.A and Cititarjetas de Honduras, S.A., after receiving the required regulatory approvals. The acquisition is the largest transaction of its kind undertaken by a Honduran bank. Ficohsa now becomes the largest bank in Honduras and one of the top 10 banks in Central America. The deal included an US$ 80-million capital contribution, which brings Ficohsa’s total net worth to approximately US$ 350 million, which represents 21% of Honduras’ total financial system’s net worth. The contribution is comprised of tier 1 and tier 2 capital. The combined entity will have a loan portfolio of US$2 billion, a deposit base of over US$1.6 billion and US$ 2.7 billion in assets, which represent 20% of the total assets of the Honduran financial system (using pro forma figures of the companies combined as of March 31, 2014.)
DFC Global serving primarily unbanked and under-banked consumers has entered into a definitive agreement to be acquired by an affiliate of Lone Star Funds (“Lone Star”) in a transaction, including the assumption of net debt, valued at approximately $1.3 billion. Upon completion of the transaction, DFC Global will become a privately held company. Under the terms of the agreement, DFC Global stockholders will receive $9.50 in cash for each share of DFC Global’s common stock they own. This represents a premium of approximately 5.8% to DFC Global’s closing stock price on April 1, 2014, and a premium of 12.3% to DFC Global’s 30-day volume weighted average stock price for the period ended April 1, 2014. The agreement was unanimously approved by DFC Global’s Board of Directors. The transaction is subject to customary closing conditions, including receipt of stockholder approval and certain approvals from both U.S. and foreign regulators. Competition-related approval requirements are expected to be limited in number. The acquisition requires the affirmative vote of the holders of a majority of the outstanding shares of the Company’s stock, which will be sought at a special meeting of stockholders. The transaction is expected to close in the third calendar quarter of 2014.
A new regulator to oversee UK payment systems will be introduced by April 2015. The Financial Conduct Authority (FCA) has asked for views on the key issues facing the payments sector. The FCA’s ‘call for inputs’ will help shape the focus of the new regulator’s work. The largest payment systems are owned and managed by the big banks, but concerns have been raised that the sector lacks transparency and innovation. It also needs to be easier for challenger banks to access these systems and compete with the bigger players. The Banking Reform Act (2013) created a new independent regulator for payment systems as a subsidiary of the FCA. Initiatives include promoting competition, promoting innovation and ensuring that payment systems operate in the interests of their users.
Allied Wallet was announced as the winner of the “Guiding Hand – International Award” at this year’s Merchant Payments Ecosystem conference in Berlin, Germany. The Merchant Payments Ecosystem Awards, or MPE Awards, began their history in 2010 as the ECAF Awards, recognizing the outstanding roles of acquirers, processors, PSP’s, and payment solution providers.The MPE Awards provide recognition and tribute to those who are instrumental and innovative in the payment industry. They bring tribute to those who are pushing the system and payment solutions beyond its current state and into the next level of success. Allied Wallet won the MPE 2014 Award for its innovative, global vision on e-commerce payments and its ability to provide a customized solution for online merchants all over the world.
Fiserv announced its Vantage Risk and Budgeting Manager application is available as a hosted software-as-a-service (SaaS) solution via the Intelligent Workplace web portal. Vantage Risk and Budgeting Manager via Intelligent Workplace from Fiserv efficiently integrates risk and budgeting processes into a performance management framework to provide a unified view of the key data needed to manage business. It links interdependent business functions – asset/liability management, budgeting and planning, management reporting – to help banks and credit unions make better decisions based on powerful insights into business performance. The functionalities of Vantage Risk and Budgeting Manager are integrated with other Fiserv solutions via Intelligent Workplace, which is a single sign-on portal that includes Prologue(TM) Financial Accounting Services, Predictive Scores(SM), Credit Risk Modeler, Trend Modeler and Prepayment Modeler. The portal makes it easier for end users to manage and use these views of the institution’s performance, while seamlessly integrating an organization’s risk, budgeting, and reporting data and processes.
Fiserv announced that its Vantage Risk and Budgeting Manager application is available as a hosted software-as-a-service (SaaS) solution via the Intelligent WorkplaceSM web portal. Vantage Risk and Budgeting Manager via Intelligent Workplace from Fiserv efficiently integrates risk and budgeting processes into a performance management framework to provide a unified view of the key data needed to manage business. It links interdependent business functions – asset/liability management, budgeting and planning, management reporting – to help banks and credit unions make better decisions based on powerful insights into business performance. Vantage Risk and Budgeting Manager gives other managers the means to collaborate and provide input for their specific budgeting responsibilities through its distributed budgeting capability.
Cypress Semiconductor announced Ezetap mPOS solutions is using Cypress’s “CapSense Express” controllers in the world’s first capacitive-touch-based PIN-pad in its new MPOS device. The CY8CMBR2016 matrix keypad solution provides the Ezetap MPOS device with a durable user interface, helping it to pass all of the stringent EMVCo and PCI global certifications required for PIN entry devices. Consumer electronics and home appliances have rapidly been transitioning from mechanical buttons to capacitive touch controls. The EMV and PCI certifications are extremely strict due to the need to protect customer PINs against a broad range of attacks, while ensuring compatibility across a range of payment cards. Ezetap was able to go from concept, to certification, to manufacturing in less than a year.
DFC Global diversified financial services company serving primarily unbanked and under-banked consumers for over 30 years announced its subsidiary Dealers’ Financial Services reached a settlement with the Consumer Financial Protection Bureau (“CFPB”) regarding certain aspects of its business. As previously disclosed, the CFPB conducted a review of the Military Installment Loans and Educational Services (“MILES”) program, an automobile finance program whereby the Company’s subsidiary, Dealers’ Financial Services, LLC, is a service provider for third party lenders. The CFPB cited violations by DFS of the Consumer Financial Protection Act for deceptively marketing the prices and scope of certain add-on products. Without admitting or denying any of the facts or conclusions of the review, DFS agreed to a consent order with the CFPB to amend its practices in line with recommendations made by the CFPB, and to provide financial redress in the form of a $3.3 million restitution fund to be distributed to past and current DFS customers. The Company established a reserve for the restitution fund in a previous quarter.
MasterCard Worldwide, Comviva Technologies and Tutuka forged a strategic collaboration that combines Comviva’s mobiquity mobile payment platform, Tutuka’s prepaid processing platform and MasterCard’s global electronic payments network to further extend financial inclusion to millions of consumers across Africa. This will enable customers to purchase goods and services at millions of physical and online retailers worldwide where MasterCard is accepted, as well as transfer funds and pay bills. The new solution offered by this collaboration will be available to both Comviva’s existing and new mobile money implementations across Africa, with the potential to benefit over 750 million consumers across the continent. Mobile Money addresses the needs of consumers in developing markets through a readily accessible device, the mobile phone while the partnership is a result of a global initiative called the MasterCard Mobile Money Partnership Program launched by the company in February 2012.
Wolters Kluwer Financial Services announced that Société Générale Bank & Trust has gone live with its FRSGlobal regulatory reporting solution. Société Générale Bank & Trust chose the FRSGlobal Regulatory Reporting solution to help automate, standardize and simplify its Singapore and Hong Kong regulatory returns. Subsequently, the bank will offer automation, standardization and simplification of reports as a result of less reliance on dependencies across the end to end process; strong audit trails of data flows; and consistency across the different reports presented to the regulators. Société Générale Bank & Trust is able to benefit from FRSGlobal’s unique Regulatory Update Service, which gives them access to information to help remain up-to-date and compliant with changes in regulatory requirements.
Nice announced has established a practice dedicated to the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank), and is working with a number of leading financial institutions in the United States as part of their preparation to be compliant with the new recordkeeping and risk management requirements. The focus of these efforts is on…
Fico analytics and decision management made available its “Model Central Solution” comprehensive offering to help banks and other organizations, including insurance, retail and health care companies, maximize the power of their predictive models and meet stricter regulations for model management. Its “Model Central Solution” provides an environment for managing predictive models in a reliable, automated and integrated way. It presents a management dashboard of overall model health, alerting personnel to performance degradation so they can take action before business decisions are impacted. It also creates a standardized process for easy management and monitoring of models, which can number in the thousands for large lenders, and deploys new models quickly and efficiently – up to 50 percent faster – for improved time to value and return on investment.