RIO DE JANEIRO, BRAZIL – Fintech company Technisys was acquired by SoFi Technologies for US$1.1 billion, becoming a new Argentine unicorn. Founded by Argentine Miguel Santos, the company will partner with SoFi to offer personalized financial services to its customers and allow other banks or technology companies to use its platform.
Technisys develops software solutions focused on digital banking. The company has more than 100 million banking customers in 16 countries, with a focus on Latin America. The company was named by Forbes as one of the top four emerging banking platform providers.
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The stock purchase represents about 10% of SoFi’s market value, the Wall Street Journal reported. The purchase gives the U.S. company control of its own banking platform, the core technology that banks use to run mobile banking apps, open accounts and track customer deposits.
SoFi said in a press release that the Technisys acquisition is estimated to generate up to $800 million in incremental revenue by 2025 and result in up to $85 million in cost savings over that period. The acquisition is expected to close in the second quarter of 2022.
With an extensive track record in the world of digital finance, SoFi Technologies enables its users to borrow, invest, spend and save money through its platforms. The company has developed a financial services platform that offers products such as personal loans, student loans, or loans to buy a home, as well as investment management solutions. It has various products such as SoFi Money, SoFi Invest, SoFi Credit Card, and SoFi Relay, as well as a mobile app available on iOS and Android. The company offers different clients the application of its technology platform, called “Galileo”.
In this last point, the company, which originates from Argentina, comes into play. “Technisys has built an attractive and fast-growing company with a unique and strategic technology that all leading financial services companies need to keep pace with digital innovation. The acquisition of Technisys is an essential element in delivering a unique digital experience to SoFi members and our partners,” SoFi CEO Anthony Noto said in a statement.
“Under the leadership of Miguel Santos, co-founder and CEO, Technisys has established itself as a proven leader in Gen 3 multi-product core banking technology. We are excited to bring their technology offering to SoFi Technologies and offer it to our hundreds of millions of customers around the world,” he added.