On 16th February 2017, JSE listed Capital Appreciation Limited (“CTA”) announced that agreements have been concluded to acquire 100 percent of Synthesis Software Technologies (“Synthesis”), subject to certain conditions precedent. Following the acquisition Synthesis, a highly specialised software development, consulting and integration services company, will remain an independent operating entity within the Capital Appreciation Group. Synthesis will continue to grow as a financial technology company providing both software and strategic consulting services to the South African financial services industry. Synthesis will also have access to capital and other resources within Capital Appreciation to further invest in the business and its client relationships and expand its service offerings.
This acquisition is in line with CTA’s strategy of providing established and emerging financial services companies with FinTech services and further delivers on CTA’s investment interests and value creation objectives. Synthesis is well positioned to capitalise on the requirement for financial institutions to invest in innovation, increase customer reach, reduce operating costs and enhance regulatory compliance.
Synthesis started as a team of passionate software developers intent on transforming financial services for our customers in a meaningful way. Along the way, we earned the trust of our customers and built rewarding and valuable partnerships. This vision will be enhanced by the strong leadership and vision of the CTA team.
About Capital Appreciation
Capital Appreciation (CTA) is a Special Purpose Acquisition Company (“SPAC”) that was listed on the Main Board of the Securities Exchange operated by the JSE Limited (“JSE”) on 16 October 2015. The CTA pre-listing statement contained an intention to acquire a Viable Asset that would provide a platform for future growth and expansion in South Africa, Africa and beyond. Companies supporting established institutions and new entrants in the financial services sector are commonly known as “FinTech” companies. CTA has concluded that FinTech is an exciting industry sector that satisfies its investment interests and objectives.
Synthesis, founded in 1997, offers highly specialised software development, consulting and integration services and technology based product solutions to banking and other financial institutions in South Africa and other emerging markets. Synthesis’ products and services enable clients to perform business processing functions, meet regulatory requirements, integrate with trading platforms and exchanges and secure sensitive information.
Executed in close collaboration with their clients, the Synthesis Digital Channel Initiatives deliver an exceptional end-user customer experience while maintaining information security and transactional integrity.
Synthesis is an accredited AWS Consulting Partner and Synthesis’ cloud transformation initiatives assist their clients in becoming cloud ready, to execute mass migrations, to harness the benefits of big data analytics and to extract the cost savings and regulatory benefits of compliance. This is an increasing priority for financial services institutions across Africa. Synthesis’ product solutions for banks and financial services institutions include online banking solutions and regulatory reporting solutions for both SARS (tax) and SARB (balance of payments).