Citi's GTS outsources technology with Bravura
Bravura and Citi's Global Transaction Services have finalized an outsourcing agreement for the provision of transfer agency technology services to Citi's Securities and Fund Services business in the European Region 

As part of the agreement Bravura has acquired Citi's Warsaw-based transfer agency software platform (including its employees) for consideration of US$21 million. The acquisition is expected to be EPS accretive in FY09 and beyond, and generate strong recurring revenues and cash flow. The acquisition was funded using current facilities and the operating cash flows generated by the business over a three year period.
This agreement is intended to strengthen Bravura's position in Europe and should enable Citi's Securities and Fund Services business to meet evolving client needs relating to transfer agency services and distribution support with a variable cost base. Citi's Global Transaction Services offers integrated cash management, trade, and securities and fund services to multinational corporations, financial institutions and public sector organisations around the world.
Commenting on the alliance, Bernard Hanratty, managing director and head of Citi's Fund Services in Europe, the Middle East and Africa, said: "This agreement benefits all parties - Citi, our clients, our employees and Bravura. Given that the technology requirements in this market continue to increase in complexity, we are pleased to be working with a best-in-class technology and client support provider with a strong reputation for innovation and product development in the Transfer Agency field. Additionally, Bravura will offer the affected employees stronger career growth potential. For Citi, this will result in reduced operating expenses while providing the long-term infrastructure to enable us to meet the growing geographic scope and sophistication of our clients distribution needs."
The deal will secure an estimated US$19 million (A$30 million) in revenue for Bravura over the initial term.