News
June 27, 2005
Metavante to Acquire GHR Systems, Adding Consumer
Finance and Residential Mortgage Origination Services
to Financial Technologies
Leading provider of lending automation technology
and services to join Metavante Financial Solutions Group
MILWAUKEE, June 27, 2005 – Metavante
Corporation, the financial technology subsidiary of
Marshall & Ilsley Corporation (NYSE: MI), today
announced the signing of a definitive merger agreement
to acquire GHR Systems, Inc., of Wayne, Pa. Metavante
is acquiring the company from GHR’s three founders
and other investors.
The $65 million acquisition, of which approximately
$55 million will be funded using Marshall & Ilsley
Corporation common stock, is expected to close in the
third quarter, pending regulatory approval and other
customary closing conditions. The purchase is not expected
to have a material impact on M&I’s financial
results.
The company will continue to operate under the name
of GHR Systems, Inc., and will become a subsidiary of
Metavante Corporation.
GHR Systems is a leading provider of loan origination
solutions for the residential mortgage and consumer
finance industries, offering point of sale products
for any channel together with comprehensive underwriting,
processing and closing technology. Four of the top 10
and 15 of the top 50 U.S. mortgage lenders are GHR clients.
GHR systems are used by large, mid-sized, and emerging
lenders to better market, sell and close loans through
all distribution channels, including wholesale, retail,
consumer direct and correspondent.
“As a leading provider of consumer finance and
mortgage origination products and services, GHR will
bring one of the most proven technology and market-leading
solutions to our clients,” said Frank R. Martire,
Metavante president and chief executive officer. “GHR
serves many of the largest U.S. financial institutions
and has focused on the top-100 bank market, which is
important to Metavante. We believe that the acquisition
of the GHR Systems’ lending solutions platform
will be perceived by our clients of all asset sizes
as a valued addition to our technology offerings.”
Since its establishment in 1985, GHR’s mission
has been to make the origination process easier for
all parties involved – borrowers, lenders, manufacturers,
vendors, brokers and processors – by supplying
technology that provides faster and better information.
In November 2000, Metavante established partial ownership
of GHR purchasing approximately five percent of the
company.
“Our mission has always been to provide our customers
with the maximum of operating efficiency through the
most complete and automated systems,” said GHR
President Cyrus Brinn. “Joining Metavante will
help us to better serve our clients with a broader array
of financial services technology products.”
The GHR management team, led by Cyrus Brinn and Allan
Redstone, will continue operating the business and become
part of the Metavante Financial Solutions Group headed
by Paul Danola, president and chief operating officer,
Metavante Financial Solutions Group.
“By providing automation technology and services
for residential mortgages that includes end-to-end origination
from point of sale through underwriting, processing,
closing, and documentation, we will now be able to deliver
a premier, mortgage loan origination solution to our
clients,” said Danola.
About GHR Systems
GHR Systems, Inc., a leading provider of lending automation
solutions and services for the residential mortgage
and consumer finance industries, provides browser-based
and client server platforms and applications for originating
loans. GHR’s clients use GHR technology and services
to better market, sell and close loans through all their
distribution channels. Fifteen of the top 50 U.S. mortgage
lenders use GHR’s systems. GHR is a Microsoft
Gold Certified Software Development Partner. GHR is
headquartered in Wayne, Pa., (a suburb of Philadelphia),
with offices in Toronto, and Berkeley, Calif. (www.ghrsystems.com)
About Metavante
Metavante Corporation delivers banking and payment technologies
to financial services firms and businesses worldwide.
Metavante products and services drive account processing
for deposit, loan and trust systems, image-based and
conventional check processing, electronic funds transfer,
and electronic presentment and payment. Headquartered
in Milwaukee, Wis., Metavante (www.metavante.com) is
wholly owned by Marshall & Ilsley Corporation (NYSE:
MI).
This press release does not constitute an offer of any
securities for sale. M&I has filed with the Securities
and Exchange Commission a registration statement on
Form S?4 (Reg. No. 333?120576), which includes a prospectus.
Investors are advised to read the prospectus and the
documents incorporated by reference into the prospectus,
because they contain important information about M&I.
Investors may receive a free copy of the prospectus
and the incorporated documents at the Commission’s
website at http://www.sec.gov or from M&I.
This press release contains forward-looking statements
concerning M&I’s, Metavante’s and GHR’s
future financial results and operations, including expected
closing date and operating activities. Such statements
are subject to important factors which could cause M&I’s
and Metavante’s actual results to differ materially
from those anticipated by the forward-looking statements.
These factors include (a) receipt of regulatory approvals
without unexpected delays or conditions; (b) timely
implementation and execution of integration plans; (c)
retention of customers and critical employees; (d) successfully
leveraging Metavante/GHR’s comprehensive product
offering to the combined customer base; (e) unanticipated
changes in laws, regulations, or other industry standards
affecting Metavante/GHR businesses which require significant
product redevelopment efforts, reduce the market for
or value of its products or render products obsolete;
(f) successful management of any impact from slowing
economic conditions or consumer spending; (g) no catastrophic
events that could impact Metavante/GHR or its major
customers’ operating facilities, communication
systems and technology or that has a material negative
impact on current economic conditions or levels of consumer
spending; (h) no material breach of security of any
Metavante/GHR systems; and (i) those referenced in M&I’s
Annual Report on Form 10-K for the year ended December
31, 2004, under the heading “Forward-Looking Statements”
and such other factors as may be described from time
to time in M&I’s subsequent SEC filings, which
factors are incorporated herein by reference.
###
For media inquiries, contact Chip Swearngan, Metavante
Corporation at (414) 357-3688 or via email at chip.swearngan@metavante.com
or Sam Kim, Metavante Corporation at (678)533-4861 or
via email at sam.kim@metavante.com
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