SS&C Technologies Holdings Inc. (Nasdaq: SSNC) is buying Primatics Financial from the Carlyle Group (Nasdaq: CG) for $122 million.
McLean, Virginia-based Primatics provides accounting, forecasting, regulatory reporting, reserving and stress testing for financial institutions that hold or acquire loans. The business uses cloud-based software to provide services, and has been backed by private equity giant Carlyle since 2011.
SS&C, headquartered in Windsor, Connecticut, provides investment and financial software-enabled services.
Increased regulatory oversight has prompted financial institutions to up their use of risk-management and other types of software to ensure compliance. The deal for Primatics comes on the same day as Vista Equity Partners' deal to buy Solera Holdings Inc., a seller of risk-management software for investors, and follows Aquiline Capital Partners LLC's investment in Fenergo, which provides software for financial institutions to handle regulations.
Dealmakers are expecting more M&A in both financial services and technology, according to Mergers & Acquisitions Mid-Market Pulse, a forward-looking sentiment indicator derived from monthly surveys of approximately 250 executives and published in partnership with McGladrey LLP.