FIN
01/10/2014 14:51
GENERAL
REL: 1451 HRS Finzsoft Solutions Limited
GENERAL: FIN: Finzsoft secures largest order-announces strategic review
1 October 2014
Banking & Finance Technology News
FINZSOFT SECURES LARGEST ORDER TO DATE AND ANNOUNCES STRATEGIC REVIEW
AUCKLAND 1 October 2014 - Finzsoft Solutions Limited (NZX:FIN) today
announced that it has secured a further work order from St George Bank in
Australia for the next material phase of the integration of the Auto and
Equipment Finance business of Capital Finance Australia (CFAL), including the
award of a major new migration project.
Finzsoft Managing Director Andrew Holliday said that the work order, which is
the Company's largest to date, will underpin Finzsoft's forecast earnings at
four times last year's profit result, which was up 88 percent on the previous
year. This excludes other profit and growth initiatives, and the positive
material impact to revenue and bottom line from the Sush Mobile acquisition.
St George uses Finzsoft's software and solutions across its vehicle and
equipment finance businesses in Australia. Since St George, a division of
Westpac Banking Corporation, acquired CFAL from Lloyds Banking Group
Australia last year, Finzsoft has secured multiple work orders to integrate
CFAL's portfolios into St George.
Andrew Holliday said the latest work order, which includes the purchase of
additional Sovereign modules and the award of the Auto and Equipment Finance
back book migration project to Finzsoft, is a significant achievement for the
business. It reflects the quality of Finzsoft's technology and service.
"The award of the back book migration project is recognition of Finzsoft's
expertise in this area and our clean data, migration and conversion track
record, which has been achieved on more than 40 other migration projects."
Finzsoft provides mission critical software and solutions to banks and
financial institutions. For St George, Finzsoft's Sovereign technology
enables seamless straight-through-processing of asset-backed loans, like car
loans, at the point of sale, including a newly licenced integrated mobile
offering that allows documents to be captured and/or signed on a mobile
device.
"We're about helping our clients be where their customer's customers are,"
says Andrew Holliday. "With our strong management team and growing team of
talented staff, we will build on this win to drive growth, innovation and
customer success."
2014 has been a growth year for Finzsoft with steady work orders from
tier-one banking and finance clients, the recent appointment of Hugh McKellar
and acquisition of Sush Mobile.
The Finzsoft Board signalled in the 2014 Annual Report that "in order for the
Group to meet its product development and market expansion plans, the Board
[had] resolved it may require a change in Finzsoft's capital structure."
Finzsoft Chairman, Brent Impey, says that "notwithstanding a 233.33% increase
in Finzsoft's share price over the past three quarters, the Board still
believes that the intrinsic value of the Company is not fully reflected in
the Company's quoted share price.
"Finzsoft has engaged PWC to assist with a strategic review of its capital
and ownership structure. The review will consider a range of initiatives to
improve the capital structure and share trading liquidity to more
appropriately reflect current and future market opportunities, the Company's
investment in R&D over 25 years and the value of its IP. The Board has the
full support of the Company's majority shareholder to execute these
initiatives."
It is expected that the review will be completed before the end of the year,
following which we expect a further announcement to the market will be made.
-ends-
About Finzsoft:
Finzsoft creates innovative, transformational products and services designed
around the people that use them. Since its launch over 25 years ago, the
company has provided financial software and solutions providers for banks and
financial institutions in Australasia. Finzsoft has offices in Singapore,
Malaysia, Australia and Auckland and employs over 90 people. www.finzsoft.com
For more information please contact:
Andrew Holliday
Managing Director
Finzsoft
Mobile: 021 355 492
Email: [email protected]
End CA:00255965 For:FIN Type:GENERAL Time:2014-10-01 14:51:47
