FinTech platform FIS has acquired embedded payment company Payrix to boost its eCommerce offerings to companies of all sizes in any industry through embedded payments via Software-as-a-Service (SaaS), according to a Monday (Feb. 14) press release.
The deal also allows FIS to deliver embedded finance capabilities in addition to eCommerce tools to small and medium-sized businesses (SMBs), per the announcement.
“Since acquiring Worldpay in 2019, FIS continues to expand its strategic payments capabilities and offerings in global e-commerce,” FIS President Stephanie Ferris said in the announcement. “Bringing the Payrix capabilities inside FIS enables us to continue our journey of serving e-commerce as well as platform companies.
Ferris added that the acquisition “is an excellent proof point of FIS’ ability to unlock the value of our broad portfolio of solutions as companies of all sizes rely on FIS as a destination for innovation to advance how the world pays, banks and invests.”
The Payrix acquisition will allow FIS to go global at scale and includes new capabilities including digital and automated onboarding, compliance, billing and settlement, which will allow the firm to expand into new market segments, including SMB eCommerce.
Terms of the acquisition were not disclosed. The deal is not expected to be material to FIS’s financial results, which are scheduled to be announced on Tuesday (Feb. 15).
Related: FinTechs Throw API Lifelines to Banks to Meet Commercial Client Needs
Meanwhile, 60% of decision-makers at financial institutions (FIs) in the United Kingdom say their organizations have incorporated at least one new digital technology in the past year. Embedded finance products and services are gaining prominence around the world.
The February edition of PYMNTS’ Next-Gen Commercial Banking Tracker® explores how banks and FinTechs can use APIs to innovate in commercial banking. About 57% of legacy FIs expect to reap from FinTech partnerships and 48% see collaboration as essential for innovation.
About 52% of legacy FIs see the potential for developing disruptive technologies, while 25% expect to be able to make their service offerings more attractive to potential customers by harnessing such technologies.