Urban FT absorbs mobile-app platform Digiliti
Urban FT has acquired Digiliti, a troubled developer of mobile banking app technology, and will integrate its services into its white-label banking platform.
Digiliti, formerly called Cachet Financial Solutions, will become part of New York City-based Urban FT.
The deal follows last summer's failed takeover attempt by Urban FT, when Digiliti teetered on the verge of bankruptcy after reporting irregularities in its earnings.
By combining operations, Urban FT will cut operational costs by delivering Digiliti's remote deposit capture and Urban FT's digital banking solutions through a single channel, said Richard Steggall, Urban FT's founder and CEO, in a recent press release.
The deal amounts to $10.5 million in cash, assumption of liabilities, technology licenses and a convertible promissory note, Steggall said via email.