IT major Infosys said on Thursday that it will acquire 75 per cent of the shareholding in Stater NV, a wholly-owned subsidiary of ABN AMRO Bank, that offers end-to-end mortgage administration services in the Netherlands, Belgium and Germany.
"This transaction strengthens our approach to offer clients digital platforms and industry focused solutions," said Infosys Presiden Mohit Joshi. "It brings together our complementary capabilities to enhance the value we offer to our financial services clients and enhance our presence in Europe."
Stater is a market leader in the Benelux region, operating across the mortgage and consumer lending value chain with capabilities in digital origination, servicing and collection. It services 1.7 million mortgage and insurance loans for about 50 clients in The Netherlands and Belgium.
Stater also brings deep European mortgage expertise and a robust digital platform to drive 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. The transaction is expected to close during the first quarter of fiscal 2020, subject to customary closing conditions.
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 specialised 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.
"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," Infosys said in a statement.
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 per cent and will continue to be an important client to Stater.
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