MONETT, Mo. – Jack Henry & Associates, Inc., has acquired Goldleaf Financial Solutions, Inc., Atlanta, a provider of solutions designed to improve the performance of financial institutions.
Goldleaf has relationships with approximately 3,500 financial institutions. The companies issued a statement saying the merger will help "effectively deliver a much broader array of product and service offerings for customers that will provide opportunities for growth and enhanced efficiency."
Nancy Atkinson, an analyst with Aite Group, said in response to the merger plan, "The Fidelity National Information Services acquisition of Metavante positioned the combined entity as a significant competitor to Fiserv. The remaining U.S.-based core banking providers – Jack Henry, Harland Financial, and Open Solutions – were put on notice that the game is changing. Further, large IT companies that used to focus only on the largest financial institutions are now moving down market and competing with core processors."
Under the terms of the agreement, Goldleaf will become a wholly-owned subsidiary of Jack Henry, and Goldleaf's shareholders will receive $0.98 per share in cash in exchange for their shares, representing a premium of approximately 40% over Goldleaf's closing share price on Aug. 14. In addition, Jack Henry will retire certain of Goldleaf's outstanding debt and accrued interest obligations.