Polaris forays into cloud-computing space

Financial technology company Polaris Software Lab today made a foray into the cloud computing space by making an investment in a digital identity authentication services provider, IdenTrust.

Cloud computing is Internet-based computing whereby shared resources, software and information are provided to computers and other devices on demand.

This acquisition will mark Polaris' entry into the cloud computing space for Financial Technology solutions, Polaris Software Lab said in a filing to the Bombay Stock Exchange.

However, the company did not disclose the financial details of the investment.

"Investment in US-based Global Leader in Trusted Identity Solutions uniquely positions Polaris to drive the most robust digital security infrastructure in the US and European markets," the company said.

Polaris will have a significant majority in the shareholding pattern, while Zions Bancorporation, a financial services provider, will maintain a substantial minority position.

"We needed a partner with scale and reach who can fuel our growth and provide us access to various global markets and we are excited to join the Polaris family that is providing solution to large financial institutions globally," IdenTrust CEO Karen J Wendel said.

Shares of Polaris Software were trading at Rs 211.25 on the BSE, up 2.30% from the previous close.

 "We believe that IdenTrust, being a proven provider of bank-grade identity authentication in 175 countries, will bring in the required expertise in this area allowing us to create more value for our clients by providing the most secure financial infrastructure solutions," Polaris Software Chairman and CEO Arun Jain said.

IdenTrust (formerly Digital Signature Trust Company) is a provider of digital identity authentication services to the United States federal government, numerous US state governments, the US Department of Defence as well as energy and supply chain markets.

IdenTrust was founded by financial institutions such as Citigroup, ABN AMRO and Bankers Trust (since acquired by Deutsche Bank).