Paladin Blog

The M&A Analysis: The Impact of Core IT Contracts on M&A

Posted by Aaron Silva on Oct 10, 2014 4:03:12 PM

Chapter 1 - The M&A Analysis (Special Edition)

Special Edition MA Analysis

Two annual studies by the BPI Network (June 2013 and July 2014) include specific details from several recent merger deals and proves that Core IT contracts are increasingly, and now more than ever, ambushing unwitting bank leaders and negatively impacting mergers. In some instances Core IT contracts are outright killing deals before they can even start.  Bank leaders are usually the cause due to a lackadaisical approach toward these business concerns - mainly because few of them understand this area of Non-Interest Expense nor have they previously received training on how to negotiate these areas of an agreement. 

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Topics: Paladin Research, vendor merger, M&A

Vendor Mergers: Resistance is Futile, You Will be Assimilated

Posted by Aaron Silva on Oct 9, 2013 12:38:00 PM

Trekkie fans will understand the reference to the BORG and what it fees like when you don't have many choices.  The assimilated Captain Picard provides this famous line, "...from this time forward you will service us."  With the recent purchases of OSI by Fiserv and Harland by D+H many bankers believe the line could be rewritten, "...from this time forward ONLY we will service you...And you have nothing to say about it."

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Topics: community banks, Fiserv, Fidelity, Jack Henry, OSI, Vendor consolidation, vendor merger