DH Corporation (D+H) has completed a US$1.25bn acquisition of Fundtech, a provider of global payment services to banks worldwide, founded in 1993 and acquired by Chicago-based private equity firm GTCR in 2011.

According to a D+H statement, the all-cash deal was funded partially through a bought deal prospectus offering of subscription receipts and 5% extendible convertible unsecured subordinated debentures that resulted in total gross proceeds of approximately US$950.1mn, while the balance of the acquisition was funded from borrowings under D+H’s credit facilities. The acquisition solidifies D+H’s position as a global fintech provider with an expansion into global payments.

“The enthusiastic support we have received from both D+H and Fundtech clients […] reflects the clear value creation potential of this acquisition,” says D+H chief executive officer Gerrard Schmid. “We look forward to leveraging our comprehensive portfolio of innovative technology solutions to meet the broader needs of our combined client base as we deliver an even stronger value proposition and focus on growing our presence on a global scale.”