Written by Parabellum Investments
1 Feb
• Rami Cassis’ ieDigital, the global digital banking software firm, has acquired artificial intelligence-driven financial software platform ABAKA.
• ABAKA enables financial services institutions to use AI to market their services to consumers in a personalised way at scale by leveraging machine learning and behavioural persona-based segmentation.
• AI will play a key role in ieDigital’s strategy and the acquisition is part of ieDigital’s ambitious growth strategy to become a global leader in financial services digital software amid increased demand for hyper-personalised financial experiences.
• Cassis remains intent on further expanding ieDigital’s umbrella of products globally through strategic acquisitions to extend its client base and launch new products.
Parabellum Investments, the family office of international growth investor Rami Cassis, has acquired the French-British AI-based financial platform ABAKA through ieDigital. The UK-based digital banking software leader is a portfolio company of Parabellum Investments.
ABAKA is an AI-driven recommendation engine platform which uses machine learning and behavioural segmentation to predict which products – such as savings accounts or retirement solutions – are the most likely to be bought by financial services consumers.
The acquisition by Cassis is ieDigital’s latest move to become the world’s largest provider of fintech software to mid-tier banks and credit unions in the US & UK, adding a layer of intelligence to the company’s growing umbrella of products.
ABAKA utilises AI to analyse customer data and life stages to provide highly tailored recommendations for financial decision-making. It enables banks, credit unions and other personal finance providers to deliver on-demand hyper-personalised customer experiences and insights, which increases engagement and retention, and drives product upselling and cross-selling opportunities.
In October 2023, ieDigital added the US-based digital banking provider Connect FSS (Connect) to its portfolio, marking a significant expansion into the US credit union market. ABAKA will enhance the company’s offering as it enables banks and financial institution to offer members and customers more tailored services and products.
ABAKA was founded in 2016 and is based in the UK, with offices in France and the UAE, and its clients include HSBC and Prudential.
This latest acquisition further positions ieDigital at the forefront of innovation in the financial services sector, driving the industry’s shift towards increased customer-centricity.
Parabellum Investments continues to eye up further potential strategic acquisitions in the global fintech sector, where they can support ieDigital in expanding its product range.
The deal is also a continuation of Cassis’ strategy of acquiring and integrating leading mid-market b2b businesses that operate within specialist and high-demand niches so that they can provide their clients with global end-to-end solutions.
In June 2023, Cassis acquired US-based manufacturing automation business Vantage through serialisation specialist Advanco to create the world’s largest independent pharmaceutical serialisation solutions provider.
Rami Cassis, CEO of Parabellum Investments, said: “The acquisition of ABAKA marks the next step in solidifying ieDigital as the foremost provider of fintech software for mid-market financial institutions globally, following the acquisition of Connect in October.
“Providing hyper-tailored services and products is crucial for financial institutions to stay ahead in an increasingly competitive landscape. ABAKA’s advanced AI capabilities, specifically designed for personalised financial insights, ensures ieDigital can continue to provide a more comprehensive suite of services and high-level solutions to meet the increased demand for customer-centric solutions.
“ABAKA uses various data points to better understand customers’ behavioural, social, financial and emotional state. It creates a far more personalized view of the customer and eliminates bias often associated with AI products.
“Fahd Rachidy and fellow co-founder Benoit Launay have built a strong business with sound fundamentals and exceptional technology. If it focuses its strategy in the right direction with the right team, it has the potential to be a truly game-changing player in the financial services sector.
“Parabellum Investments continues to seek acquisitions to grow its combined fintech and enterprise software platform. As a family office, we take a hands-on approach to growing businesses through our operational experience, and we set ourselves apart from other acquirers as we’re deploying our own capital and therefore making faster, more informed decisions.”
ABAKA, like Connect FSS, will be integrated with ieDigital under the leadership of Jerry Young, Chief Executive Officer (CEO).
About Rami Cassis
Rami Cassis is an international growth investor and CEO of Parabellum Investments. In 2012, he founded Parabellum Investments, his family office, which invests his own capital to acquire, build, and grow businesses, with a focus on the technology and life sciences sectors. He usually seeks to take a controlling position in his investments, and he has led complex transactions in every continent except Latin America. Known for his hands-on approach, he usually acts as Executive Chairman, although he sometimes steps in as interim CEO. He has a robust background in business operations, having worked in leadership positions at both Schlumberger and Atos. Further information can be found at www.ramicassis.com
About Parabellum Investments
Parabellum Investments is a family office, deploying its capital to acquire companies which can be located anywhere in the world. Under the leadership of founder and CEO, Rami Cassis, Parabellum Investments has a strong track record of growing companies operating within various sectors, including enterprise software, business and IT services, and pharmaceuticals and life sciences. Further information can be found at www.parabelluminvestments.com
