Temenos AG (SIX: TEMN), the banking software company, announces it has signed an agreement to sell Multifonds, its fund administration software business, to Montagu Private Equity, a European private equity firm, for a total Enterprise Value of about USD 400 million including an earnout.
The Multifonds executive management team will reportedly invest alongside Montagu.
Multifonds is a global provider of fund administration software, serving all asset classes across “multiple jurisdictions and helping the world’s fund administrators, asset managers, insurance companies and pension funds achieve increased operational efficiency, whilst reducing risk.”
Montagu is reportedly an “established” investor in the fund administration technology space and will work with the Multifonds executive team to “ensure its customers continue to receive the highest levels of service.”
Temenos will support Montagu and Multifonds to “ensure a seamless transition.”
The sale of Multifonds simplifies the Temenos product portfolio and aligns with Temenos’ new strategic and operational plan “to drive above-market growth as presented at the Capital Markets Day in November 2024.”
Simplifying and rationalizing the product portfolio enables Temenos to focus on its three growth levers of “extending market leadership in ‘best of suite’, enhancing modular core solutions and accelerating adjacent point solutions.”
The transaction is subject to the satisfaction of “customary closing conditions and is expected to be completed in Q2-25.”
Temenos said it will provide further details on the “impact of the sale on the outlook for 2025 as part of the announcement of its Q4 and FY-24 results, which will take place after market close on February 18, 2025.”
As covered in November 2024, Temenos announced it is bringing on-premises Temenos generative AI — built with the NVIDIA AI platform — to banks, allowing them to transform data into real-time insights while retaining control over their information.
Banks are now able to deliver customer-centered experiences by processing unstructured data on site with Temenos’ generative AI built with the NVIDIA accelerated computing platform, “including NVIDIA GPUs and NVIDIA AI Enterprise software.”
Temenos will deploy its own generative AI on-premises on NVIDIA’s accelerated computing platform, “providing banks with speed and precision in delivering AI-driven services.”
