Strengthens mortgage servicing capabilities through digital platforms
BENGALURU, India and AMSTERDAM , March 28, 2019 /PRNewswire/ -- Infosys [http://www.infosys.com/] , a global leader in next-generation digital services and consulting, today announced a strategic partnership with ABN AMRO, the third largest bank in the Netherlands headquartered in Amsterdam. This partnership strengthens Infosys' position as a leading technology and business process management provider across the mortgage services value chain, improving experience and operational efficiencies, and further enhances the company's strategy to help clients navigate their next digital transformation journeys.
As part of the announced partnership, Infosys will acquire 75% of the shareholding in Stater N.V., a wholly owned subsidiary of ABN AMRO Bank N.V., that offers pure-play, end-to-end mortgage administration services in the Netherlands, Belgium and Germany. ABN AMRO will continue to hold the remaining 25% of the shareholding.
Stater is a market leader in the Benelux region, operating across the mortgage and consumer lending value chain with deep capabilities in digital origination, servicing and collection. Stater also brings deep European mortgage expertise and a robust digital platform to drive superior customer experience. Infosys will drive the digital transformation roadmap of Stater with accelerators such as dynamic workflow, API layers, RPA and analytics. The current management team of Stater will continue to steer the company.
Mortgage services is a focus area for large corporations in the financial sector, given the importance of the asset on a bank's balance sheet. The specialized knowledge and experience of Stater in the mortgage services market, combined with the global reach, AI, digital transformation and automation capabilities of Infosys, can potentially create differentiated solutions for the market.
Mohit Joshi, President, Infosys, said, "This transaction strengthens our approach to offer clients digital platforms and industry focused solutions. It brings together our complementary capabilities to enhance the value we offer to our financial services clients. We are excited to welcome Stater's talented team to the Infosys family, thereby enhancing our presence in Europe."
Christian Bornfeld, Member of the Executive Board of ABN AMRO, said, "While mortgages are a key product for ABN AMRO, providing administrative mortgage services is not a core activity. That's why we are very pleased with Infosys as Stater's new majority shareholder. ABN AMRO will keep a strategic interest of 25% and will continue to be an important client to Stater."
Erwin Dreuning, Managing Director, Stater, said, "We are eager to welcome Infosys as a new shareholder. As they are already active in mortgage administration services, Infosys offers specific expertise. With the combined forces of ABN AMRO, Infosys and Stater ensures we have a solid basis to pursue our plans to for further development of our service offering. Furthermore, it opens up opportunities for us to grow and service other clients."
The transaction is expected to close during the first quarter of fiscal 2020, subject to customary closing conditions.
Disclosure under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015
Name(s) of Infosys Consulting Pte. Ltd. ("IC"), which is a
parties with wholly owned subsidiary of Infosys Limited
whom the will be entering into an agreement with -
ABN AMRO Bank N.V., a company incorporated
under the laws of the Netherlands ("ABN
Stater N.V., a company incorporated under the
laws of the Netherlands ("Stater").
Expected date The transaction is expected to close in Q1
of completion FY2020, subject to customary closing
of investment conditions.
Purpose of Founded in 1997, Stater is a wholly owned
entering into subsidiary of ABN AMRO Bank N.V. providing
the agreement end-to-end mortgage administration services
in the Netherlands, Belgium and Germany.
As part of the transaction, Infosys Consulting
Pte. Ltd. will acquire 75% stake in Stater
from ABN AMRO by way of an acquisition of
existing shares. ABN AMRO will continue to
hold the remaining 25% of the shareholding.
The strategic partnership is in alignment with
Infosys' strategy to strengthen its mortgage
servicing capabilities in Continental Europe
Consideration EUR 127.5 million for 75% stake, subject to
for the customary closing adjustments
BPM (Business Process Management)
Brief details Customary approvals from the relevant
of any competition authority and the Dutch Authority
governmental for the Financial Markets ("AFM")
In case of
shares to the
if any, in
with whom the
said parties relationship.
nature of the
same is done
In case of
Significant As part of the terms of the Shareholders'
terms of the Agreement, Infosys to have the rights of a
agreement majority shareholder including the right to
appoint majority of the directors in the
supervisory board, right to subscribe to new
shares, right of first refusal in the event of
transfer of shares, right to restrict
amendment of Articles, issuance, redemption
and repurchase of shares, merger, demerger,
bankruptcy or Liquidation among others.
Stater is the largest mortgage service provider of the Benelux. Stater services 1.7 million mortgage and insurance loans for approximately 50 clients in The Netherlands and Belgium. Stater was founded in 1997 and has a solid client base. Several of the largest Dutch and Belgian banks see Stater as a trusted partner for their most important product, mortgages. Stater offers a complete range of mortgage services and is a front runner in digital services regarding mortgages and in developing a digital ecosystem for mortgages.
About ABN AMRO
ABN AMRO is a Dutch based bank for retail, corporate and private banking clients. We are a relationship-driven, knowledgeable and digitally savvy bank, active in Northwest Europe and with expertise in selected sectors globally. Our purpose is Banking for better, for generations to come. Headquartered in Amsterdam, ABN AMRO employs around 19,000 people worldwide. Please visit at www.abnamro.com [http://www.abnamro.com/]
Infosys is a global leader in next-generation digital services and consulting. We enable clients in 45 countries to navigate their digital transformation. With over three decades of experience in managing the systems and workings of global enterprises, we expertly steer our clients through their digital journey. We do it by enabling the enterprise with an AI-powered core that helps prioritize the execution of change. We also empower the business with agile digital at scale to deliver unprecedented levels of performance and customer delight. Our always-on learning agenda drives their continuous improvement through building and transferring digital skills, expertise, and ideas from our innovation ecosystem.
Visit http://www.infosys.com [http://www.infosys.com/] to see how Infosys can help your enterprise navigate your next.
Certain statements in this release concerning our future growth prospects are forward-looking statements regarding our future business expectations intended to qualify for the 'safe harbor' under the Private Securities Litigation Reform Act of 1995, which involve a number of risks and uncertainties that could cause actual results to differ materially from those in such forward-looking statements. The risks and uncertainties relating to these statements include, but are not limited to, risks and uncertainties regarding fluctuations in earnings, fluctuations in foreign exchange rates, our ability to manage growth, intense competition in IT services including those factors which may affect our cost advantage, wage increases in India, our ability to attract and retain highly skilled professionals, restrictions on immigration, industry segment concentration, our ability to manage our international operations, reduced demand for technology in our key focus areas, disruptions in telecommunication networks or system failures, our ability to successfully complete and integrate potential acquisitions, liability for damages on our service contracts, the success of the companies in which Infosys has made strategic investments, withdrawal or expiration of governmental fiscal incentives, political instability and regional conflicts, legal restrictions on raising capital or acquiring companies outside India, and unauthorized use of our intellectual property and general economic conditions affecting our industry. Additional risks that could affect our future operating results are more fully described in our United States Securities and Exchange Commission filings including our Annual Report on Form 20-F for the fiscal year ended March 31, 2018. These filings are available at www.sec.gov [https://www.sec.gov/]. Infosys may, from time to time, make additional written and oral forward-looking statements, including statements contained in the company's filings with the Securities and Exchange Commission and our reports to shareholders. In addition, please note that the date of this press release is mentioned at the beginning of the release, and any forward-looking statements contained herein are based on assumptions that we believe to be reasonable as of this date. The company does not undertake to update any forward-looking statements that may be made from time to time by or on behalf of the company unless it is required by law.
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CONTACT: For further information, please contact: PR_Global@infosys.com Media contacts for ABN AMRO: ABN AMRO Press Office +31 (0)20-6288900 - email@example.com ABN AMRO Investor Relations +31 (0)20-3837244 - firstname.lastname@example.org
Web site: http://www.infosys.com/