Back in 1995, Digital Insight started out to pioneer the use of Internet banking services, and built enough of a name for itself that it was acquired by Intuit in 2007. Then, as often happens, the name was subsumed into Intuit and faded away. But now it is rising again as an independent company.
Both the brand name, and the Financial Services division of Intuit, have been acquired from the company by US-based private equity management firm, Thoma Bravo, in a deal valued at $1.025 billion.
The division will now operate as a stand-alone company under the Digital Insightname, providing cloud-delivered digital banking and payments capabilities to financial institutions. It already provides an integrated digital banking platform for 11 million users, and its mobile banking suite is the industry benchmark, with a 4.7+ app store rating and best in class user adoption of more than 4 million customers.
As part of the transaction, Digital Insight reaffirmed its current product commitments to customers. The company also announced it will work with Intuit Inc. to continue supporting TurboTax for Online Banking to financial institutions.
The company’s primary role is to offer innovative online and mobile banking solutions that make it easier for consumers and businesses to manage their money by applying customer insights and innovation to the design of its products.
The name may have resurfaced, but Jennifer Lewis, VP of marketing for Digital Insight, it is not the old company brought alive. “This is not the old Digital Insight. It’s a company with some of the newest, flexible, service oriented architecture and a cloud-based infrastructure; industry leading mobile solutions; rich data sources that empower financial institutions to meet their customers unique needs; and— perhaps most important— an innovative and customer-driven company,” she said.
Part of that innovation is likely to include the acquisition of new businesses that make sense as additions to the Digital Insight operations, as was made clear by Holden Spaht, a partner at Thoma Bravo.
“Thoma Bravo has a proven track record working with innovative software companies and the acquisition of Digital Insight marks our 27thplatform company investment. We look forward to applying Thoma Bravo’s strategy of business enhancements and add-on acquisitions to accelerate the company’s growth and extend its market leadership position.”
Thoma Bravo has invested in 27 companies that have completed 62 add-on acquisitions to produce total annual earnings of approximately $1 billion.
