Finovate Alumni News

On Finovate.com

  • Envestnet | Yodlee’s AI FinCheck Takes Financial Wellness to a New Level.
  • Blockbid Partners with LexisNexis Risk Solutions and ThreatMetrix.
  • Ignite Sales and FIS Team Up on Digital Engagement.

Around the web

  • Revolut goes live in Russia courtesy of partnership with QIWI.
  • Clinc brings its conversational AI technology to Turkey’s Isbank.
  • BBVA teams up with IPsoft to enhance service at its call centers in Mexico.
  • PYMNTS.com interviews BlueVine CEO Eyal Lifshitz on the “real value of invoice factoring.”
  • CFO Tech Outlook names Urban FT a top ten fintech solution provider.
  • NF Innova powering omnichannel banking for Halkbank ad Skopje.
  • Geezeo issues fully-fledged launch of Responsive Tiles PFM feature.

This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

Digiliti Money Merges Under Urban FT

The second time’s the charm for digital banking platform Urban FT. The New York-based company has successfully agreed to a deal with Digiliti Money, a subsidiary of Digiliti Money Group (formerly Cachet Financial Solutions) under which Digiliti will merge into Urban FT’s affiliate, FinTech Imaging Solutions.

Prior to the closing of the deal, Digitili Money Group will transfer all of its core technology assets to Digital Money Technologies, a newly formed Minnesota corporation and subsidiary of Digitili Money Group that is not subject to the merger. Digital Money Technologies will license this software technology to Urban FT for two years for a license royalty fee of $360,000 per year. The deal also gives Urban FT the option to purchase Digital Money Technologies’ software for $3 million.

For its part of the deal, Digiliti Money Group will receive a payment of $250,000, a secured promissory note from Urban FT’s parent company for $2.4 million, and a percentage of revenues relating to Digiliti Money’s prepaid card business that Urban FT is acquiring.

This comes six months after Urban FT’s original attempt to acquire the company in a bid that valued Digiliti Money at $10.5 million on a net equity basis. Digiliti rejected the original bid and proposed alternate terms to the contract, which Urban FT and its lawyers considered “unreasonable and unacceptable under the circumstances.” Urban FT left the bid on the table until the end of the month.

In August of 2017 Digiliti’s CEO resigned. Later that month, interim CEO Bryan Meier disclosed financial difficulties, saying that the company is “reducing [its] cash burn to improve [its] bottom line performance, which [it is] demonstrating with the implementation of [its] recent cost-cutting initiatives intended to reduce [its] annual operating expenses by nearly $3 million.” In a statement on August 14, Digiliti made it clear that it was “actively reviewing strategic options to restructure the company, including the potential sale of the company or potentially filing for Chapter 11 bankruptcy.”

Urban FT president Kasey Kaplan, who was aware of the financial and leadership difficulty Digiliti Money was going through at the time, said, “Placing Digiliti into bankruptcy, if that’s what the Board is considering, would be a great loss to all of those stakeholders and would truly disrupt so many organizations that rely on Digiliti’s services every day.”

In order to avoid bankruptcy, over the course of the past six months Urban FT provided Digiliti with significant financial support “to ensure uninterrupted service to Digiliti clients and continued employment to Digiliti employees.”

Richard Steggall, CEO of Urban FT, said that the deal “is a fantastic outcome for both companies, their employees, and most importantly, for the clients we respectively serve.” Steggall added, “From the beginning of this process, we recognized that the Digiliti business was fundamentally a good one—with exceptional client and strategic relationships—and together we could create synergies, resulting in significantly reduced combined operating costs and additional services for our pooled client bases.”

The deal is expected to close February 24. Urban FT will continue to be headquartered in New York City with development and operations located in Digiliti Money’s headquarters location, Minneapolis.

At FinovateFall 2016, Urban FT debuted the Workshop, a real-time, mobile app management platform that enables banks to quickly configure, brand, and launch mobile banking apps without coding. The company was founded in 2013 and has raised $3 million. Urban FT has made two acquisitions in the past, including iParse in 2017 and Wipit in 2015.

Digiliti Money demoed its Select Mobile Money prepaid suite at FinovateFall 2014 in New York. The company was founded in 2010 and went public July 18, 2014.

Urban FT and Fortress Plus to Co-Market Digital Banking, Fraud Prevention to Community Banks

If you are a community bank or credit union, the new partnership between Urban FT and Connecticut-based Fortress Plus means it just got a lot easier to add digital banking services and state-of-the-art fraud protection at the same time.

Fortress Plus’s Rampart Intelligence Platform uses big data and behavior-based adaptive analytics to monitor and identify fraud in different channels and among different payment types. Urban FT provides a mobile banking solution that enables community banks to leverage proprietary technology to display information from traditional websites into their mobile websites and banking apps. The decision to work together, in the words of Urban FT CEO Richard Steggall, represents a shared “dedication to strengthening America’s community financial institutions.”

“Our agreement pulls together two key elements of what today’s smaller FIs need to combat the challenge of big banks and nonbanks – an easily implementable, cost-effective mobile banking solution offering exceptional UX and best-in-breed fraud prevention solutions that protect FIs from fraudsters who prey on them,” Steggall said.

“By co-marketing, we bring our respective best-in-breed solutions to more financial institutions that need and deserve the advantages we offer,” Fortress Plus President Jeff Whelton added, “(that is) big bank-grade quality that’s accessible and affordable for financial institutions of any size.”

Founded in 2013, New York-based Urban FT demonstrated its Urban FT Workshop at FinovateFall 2016. The workshop is a real-time, multi-tier mobile app management platform that gives FIs and FSOs the ability to design, brand, and launch mobile banking apps without coding. Available as a managed service, SaaS, online or via API, Urban FT’s technology is used by 10% of those U.S.-based FIs with assets of more than $25 million. The company acquired mobile banking technology company iParse in July of last year. In April, Urban FT partnered with technology service provider T-Cetra to make it easier for customers to top-up prepaid wireless service.

Finovate Alumni News

On Finovate.com

  • Urban FT and Fortress Plus to Co-Market Digital Banking, Fraud Prevention to Community Banks
  • Alkami Scores $70 Million in Series D Funding

Around the web

  • Privakey joins the FIDO Alliance.
  • Featurespace opens U.S. headquarters in Atlanta.
  • NCR wins four GOOD DESIGN awards.

This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

Finovate Alumni News

On Finovate.com

  • East vs. East: A Comparison of Regional Fintech Trends.
  • BehavioSec Brings Behavioral Biometrics to Identity Management Specialist Crossmatch.
  • Memento Partners with Islandsbanki to Add Money Pool Feature to Digital Wallet.

Around the web

  • Quid looks at Salesforce Ignite’s implementation of its data visualization technology.
  • NBC News features Ping Identity chief information security officer Robb Reck with tips on being safe on Cyber Monday.
  • Zenmonics’ digital account opening technology wins endorsement from American Bankers Association.
  • BAI Banking Strategies podcast interviews nCino CMO Jonathan Rowe.
  • Business Insider features Pindrop and Ripple in roster of startups that will boom in 2018 – as selected by leading VCs.
  • PYMNTS.com interviews Urban FT co-founder Kasey Kaplan.
  • Kantox boosts currency portfolio from 35 to 92, adding markets in Latin America and Asia.

This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

Finovate Alumni News

On Finovate.com

  • Responsive Tiles from Geezeo Help Banks Build Personalized Digital Experiences.
  • Accenture Acquires Verax to Boost Canadian Operations.
  • Urban FT Bids to Acquire Digiliti Money [UPDATE: Bid Rejected]

Around the web

  • Let’s Talk Payments interviews David Vélez, founder of Nubank.
  • Visa to encourage Australian banks to embrace biometric authentication in new security roadmap.
  • InComm buys distribution rights to American Express’ prepaid reloadable and gift card business in the U.S.
  • Flywire Simplifies Compliance with New Cross-Border Education Payment Requirements in Ireland.

This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

Urban FT Bids to Acquire Digiliti Money [UPDATE: Bid Rejected]

Update: August 29, 2017

According to a press release issued this morning, Urban FT reports that its bid to acquire Digiliti Money has fallen through after Digitili rejected the offer. This occurred after Digitili proposed alternate terms to the contract, which Urban FT and its lawyers considered “unreasonable and unacceptable under the circumstances.” The rejected bid valued Digitili Money at $10.5 million on a net equity basis.

Kasey Kaplan, Urban FT president said, “We will leave our offer on the table for acceptance by Digiliti until close of business on August 31.” He added, “Placing Digiliti into bankruptcy, if that’s what the Board is considering,” continued Kaplan, “would be a great loss to all of those stakeholders and would truly disrupt so many organizations that rely on Digiliti’s services every day.”


Digital banking platform Urban FT is eyeing its second acquisition this summer. The New York-based company has made an all-cash offer of an undisclosed amount to buy Digiliti Money, which rebranded from Cachet Financial Solutions earlier this year.

It is no secret in the fintech community that Digiliti Money has undergone financial difficulty as of late. The company, which is publicly traded on the NASDAQ with a market cap of $2.2 million, saw its CEO resign earlier this month. Digiliti appointed interim CEO Bryan Meier, who said that the company is “reducing [its] cash burn to improve [its] bottom line performance, which [it is] demonstrating with the implementation of [its] recent cost-cutting initiatives intended to reduce [its] annual operating expenses by nearly $3 million.” In a statement on August 14, Digiliti made it clear that it is “actively reviewing strategic options to restructure the company, including the potential sale of the company or potentially filing for Chapter 11 bankruptcy.”

Despite Digiliti’s struggles, Urban FT believes the acquisition will be beneficial on both sides. Urban FT maintains it can help Digiliti reduce operating costs attributed to data expenditures and offer more value to the company’s client base with its robust mobile features. To Urban FT’s benefit, Digiliti has an appealing roster of client and strategic relationships. “We are looking to grow organically by expanding our base of users on our existing platform, which we think is exceptional, but we also want to grow acquisitively,” says Urban FT CEO Richard Steggall.

The move to buy Digiliti Money comes after Urban FT acquired mobile banking technology provider iParse in July and Wipit in 2015.  Urban FT COO Glen Fossella said the company is able to move quickly toward the acquisition “because of the support of the Urban FT board of directors and investors, and because [it has] a clearly defined acquisition strategy that focuses on businesses with strong client relationships, recurring revenues and technologies that deliver an additional competitive advantage to our core products and services.” He adds, “we hope Digiliti Money will match our speed and commitment to completing this transaction.”

At FinovateFall 2016, Urban FT debuted the Workshop, a real-time, mobile app management platform that enables banks to quickly configure, brand, and launch mobile banking apps without coding. The company was founded in 2013 and has 40 employees.

Digiliti Money demoed its Select Mobile Money prepaid suite at FinovateFall 2014 in New York. The company was founded in 2010 and went public July 18, 2014. It is headquartered in Minneapolis, Minnesota.

Finovate Alumni News

On Finovate.com

  • Urban FT Bids to Acquire Digiliti Money.

Around the web

  • First Tennessee Bank goes live with mobile banking app from D3 Banking.
  • Alpha Payments Cloud partners with Australia Post to launch Alpha Commerce Hub.
  • IBM Singapore inks memorandum of understanding with Pacific International Lines to trial blockchain-based, supply chain solutions for businesses.
  • Trulioo’s Global Gateway earns first place in the Verification/Identity Checks category of Market Fintech Limited’s 2017 RegTech Performance Report.
  • FICO Customer Communications Services helps China Guangfa Bank Credit Card Center lower collection costs.
  • Liferay launches initiative to provide new resources for its open source developer community.
  • Featurespace selected by IATA to provide leading fraud protection solution.
  • Bluefin Payment Systems and ACEware Systems Partner for PCI-Validated P2PE.

This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

Urban FT Acquires iParse

B2B digital banking platform Urban FT acquired Oregon-based iParse today. Urban FT plans to leverage iParse’s technology and its mobile banking-related patents.

Terms of the deal were not disclosed. Operations will continue as usual for iParse, which will function as a separate division from Urban FT. All staff (except for the founders, who are retiring) will continue as employees of Urban FT’s new unit. The company’s CEO, Richard Steggall, is calling the new deployment a “mobile banking plug-in solution” because it empowers financial institutions of any size to compete in the mobile banking space by plugging directly into their core, simulating integration. Urban FT estimates the mobile plug-in option will be available to clients within the next couple of months.

In the press release, Steggall said:

“The iParse tech strategically complements Urban FT’s suite of white-label mobile banking solutions by providing a proprietary way to bypass core processor integration, while delivering a robust mobile banking service for financial institutions to offer to their customers…. now credit unions and banks of any size can play—and play competitively—in the mobile banking space.”

Founded in 2013, Urban FT expects the number of bank clients it serves to double to more than 150 within the next year. Kasey Kaplan, Urban FT President said, “On the bank side, we size the market at approximately 12,500 potential targets, and we know that almost 42 percent of credit unions have yet to launch any form of mobile banking.”

At FinovateFall 2016, Urban FT debuted the Workshop, a real-time mobile app management platform that enables banks to quickly configure, brand, and launch mobile banking apps without coding. The company has 40 employees and, in addition to financial institutions, also serves clients in telecommunications, insurance, and travel. Among the New York-based company’s partners are Sprint, Boost Mobile, Yelp, Banc of California, and Sunrise Banks.

Finovate Alumni News

On Finovate.com

  • Expensify Announces Five New Receiptburner Partners.
  • Flybits Raises $6.5 Million to Help Banks Put Data to Work

Around the web

  • Jumio introduces eyeball tracking to the “liveness” check of its biometric authentication solution, Netverify.
  • NYMBUS adds executive talent, opens center of strategic excellence in Glastonbury, Connecticut.
  • Co-founder Kristo Käärmann takes the helm at TransferWise.
  • PayPal announces strategic partnership with Samsung Pay.
  • ThreatMetrix named the Leader in The Forrester Wave: Risk-Based Authentication, Q3 2017.

This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.