Software firm Technisys has raised a new series C financing round aimed at further developing its digital banking offerings and supporting a global expansion plan.
The $50 million funding round led by Riverwood Capital will go towards the enhancement of the firm's products used by incumbent banks and challengers across Latin America, as well as the entry into new markets such as Europe and the US.
Riverwood joins existing investors Alta Ventures, Kaszek Ventures, Oria Capital and Endeavor Catalyst.
With offices in Miami and Buenos Aires, Technisys has a customer portfolio of over 50 customers including HSBC, Brazil's largest private bank Itaú Unibanco and Banco Original, the country's first online bank.
"We are excited by the massive global opportunity ahead to continually provide the building blocks necessary to win in this rapidly changing market," said Technisys founder and chief executive, Miguel Santos.
Key products offered by Technisys are cloud-based platforms Cyberbank Digital and Cyberbank Core. The former is based on open APIs and allows customer experience interactions across channels including mobile, kioks and voice assistants, while the latter is a core banking offering aimed at digitally-native firms.
Both products use data-related technologies such as machine learning and artificial intelligence. The software company notes that such features allow user organizations with the ability to provide banking users with better experiences at a lower cost.
Ability to offer better digital services without huge investments is one of the areas that will have to be addressed by US small banks in 2019, according to Alan McIntyre, senior managing director at Accenture: "If they can't, then they will lose more business to digital leaders."
According to Accenture, another trend that players in the banking industry should be watching this year is the interest in new core banking systems seen in 2018 expanding into broader build and migration - even for larger, traditional banks.
Cloud, and knowing what to do with data, "will define winners of digital banking," McIntyre pointed out as part of his predictions for the banking industry.
"There is a sense that 2019 may turn out to be a critical year in the evolution of the industry and a year in which the old world gave way to the new."