Fintech giant FIS has acquired SaaS post-trade platform Torstone Technology, according to multiple sources close to the matter. 
The deal will further bolster FIS’ capital markets technology offering, having acquired SunGard in a major deal back in 2015. The firm has also made waves through a number of other bolt-on acquisitions and landmark mandates.
Torstone is a global SaaS platform for post-trade securities and derivatives processing technology, originally built by and for a global investment bank.
The fintech was founded in 2011 with originator and CEO Brian Collings still chief executive and chairman today.
Torstone is headquartered in London, with offices in New York, Toronto, Hong Kong, Singapore, and Tokyo.
A spokesperson for Torstone said the firm is not able to disclose more detail at this stage. A spokesperson for FIS said the firm does not comment on market rumour or speculation.
A source speaking to The TRADE under the condition of anonymity said: “The acquisition makes perfect sense from the FIS perspective as the vendor can add modern securities processing capabilities to its existing suite of capital markets focused offerings. On the Torstone side, it gives the smaller vendor deeper pockets to build out its capabilities and reach into new geographies.”
FIS has emerged as a major player in the capital markets technology space, growing both organically and through acquisition, headlined by the aforementioned SunGard deal.
Some of its major recent mandates include a 10-year agreement to provide post-trade technology to BNP Paribas and $1.5 trillion asset manager Franklin Templeton outsourcing its entire global transfer agency (TA) operations to FinTech FIS.
FIS also acquired a majority stake in credit-based alternatives fund solutions provider Virtus Partners in 2020.
For Torstone, the major backing comes as the firm looks to help clients navigate the shift to T+1 in the US. The firm has been a leading voice in advocating for the industry to move further towards automation – if they haven’t already – or risk a myriad of issues come 28 May.