HCL Technologies UK has agreed to acquire Switzerland-based digital banking and wealth management consulting specialist Confinale for $54m.
The deal, whose financial details were not shared, is subject to regulatory approval.
Established in 2012, Confinale specialises in IT consulting in key segments in the banking and wealth management sector.
Said to be an Avaloq premium implementation partner, the firm offers its in-house developed products and solutions to support the implementation of the Avaloq platform.
Confinale has a presence in Düsseldorf and London in addition to its offices in Zurich, Zug and Geneva in Switzerland.
The acquisition follows HCL’s expanded global partnership with Avaloq and its takeover of German IT consulting company gbs in partnership with apoBank in December last year.
The deal will help HCL bolster its presence in the global wealth management space with a focus on Avaloq consulting, implementation and management capabilities.
Furthermore, the intellectual properties that are covered in the acquisition is expected to accelerate the company’s strategy to develop specialised vertical domain capabilities.
HCL is also eyeing to bolster its capabilities in the implementation and lifecycle management of the Avaloq platform.
Confinale CEO Roland Staub said: “We strongly believe in the need for banking expertise combined with software competence and HCL is the perfect fit for this. It is a truly global player with strong heritage in the financial services sector. HCL’s reach will enable us to further our growth and at the same time expose our team to new learning and innovation opportunities.”
HCL Technologies president of Financial Services and Digital Process Operations Rahul Singh said: “There is significant disruption taking place in global wealth management and this means an opportunity for technology-led innovation.
“This acquisition significantly strengthens HCL’s digital wealth and asset management capabilities and expands our presence in the heart of the global investment banking sector. We welcome the team from Confinale and look forward to continuing to drive digital banking innovation alongside Avaloq.”
HCL and Avaloq first partnered in 2014 to provide capabilities in implementation, systems integration, migration and testing on the Avaloq Banking Suite’s range of wealth management offerings.
Commenting on the deal, Avaloq co-CEO Martin Greweldinger commented: “Both HCL and Confinale have considerable domain knowledge in financial services and deep understanding of our technology. We see the combination as immensely beneficial as Confinale has strong implementation credentials, including being awarded as best implementation partner in 2020 and 2021.”