Fiserv Buying Open Solutions to Bolster Financial Services
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Fiserv Inc. is buying Open Solutions Inc. for $55 million and taking on $960 million in debt as the account-processing provider seeks to bolster products and services for banks, credit unions and other financial firms.
The acquisition will deliver at least $75 million in additional annual revenue and cut costs by more than $50 million annually over the “next several years” for Fiserv, according to a statement yesterday. Fiserv expects revenue to grow 3 percent to 4 percent this year, while adjusted earnings per share will increase 15 percent to 18 percent. Analysts are predicting earnings growth of 12 percent to $5.77 a share on a