CHICAGO and LONDON, May 30, 2018 (GLOBE NEWSWIRE) -- VASCO Data Security, Inc. (NASDAQ:VDSI), a global leader in digital
identity security, transaction security and business productivity, today announced it has acquired privately-held Dealflo for £41
million in cash. In a separate press release today, VASCO introduced its Trusted Identity (TID) platform and announced its name is
changing to OneSpan.
Dealflo is a rapidly growing and leading provider of identity verification and end-to-end financial agreement automation
solutions. Its flexible workflow management system automates the full lifecycle of customer onboarding by providing a flexible and
automated application process, integration of third-party identity verification services, tailored and configurable contract
generation, e-signature capture and secure vaulting. Dealflo has achieved significant success in providing onboarding solutions to
the consumer and asset financing sectors primarily in the U.K.
“The combination of two leading providers of solutions for agreement automation creates a strong offering for customer
onboarding,” said Aite Group’s Retail Banking and Payments Research Director, Julie Conroy. “Financial institutions in particular
have a growing demand for onboarding automation solutions and coming from OneSpan, a leading provider in the financial services
industry, this will make for a very compelling offering in the market.”
Dealflo’s agreement automation platform provides a flexible API that facilities the integration of multiple third party
solutions for each step of the financial transaction management process. Dealflo has partnerships with leading identity
verification providers Equifax, iovation (being acquired by TransUnion), Mitek, and GB Group, as well as OneSpan Sign (formerly
eSignLive). OneSpan will continue to support these relationships and plans to increase the number of e-sign partnerships as it
expands Dealflo’s presence globally.
“This acquisition will enable us to grow our subscription revenue and Dealflo’s technology will be a major differentiator for
our eSignLive solution,” said VASCO CEO, Scott Clements. “In addition, Dealflo’s identity verification capabilities will allow us
to accelerate the launch of our TID platform based onboarding, identity and anti-fraud solutions.”
There are significant synergies between the companies. Dealflo is headquartered in London with its development center in
Montreal, the home of OneSpan’s largest development center. In addition, OneSpan Sign is already integrated into Dealflo’s platform
and more than half of Dealflo’s customers are also OneSpan’s, including leading financial institutions and organizations such as
BMW, Santander, BNP Paribas and Mercedes Benz.
“The entire Dealflo team is thrilled that we are joining a leader in the financial services segment that can accelerate growth
of our solution and expand into new regions where OneSpan is very well-established,” stated Dealflo Founder and CEO, Abe Smith. “We
have a deep history with OneSpan Sign and look forward to working together and expanding our integration into OneSpan’s powerful
and innovative Trusted Identity platform.”
2018 Guidance Update
As a result of the transaction, OneSpan has revised its guidance for the full-year 2018 as follows:
- Revenue is expected to be in the range of $201 million to $211 million; and
- Adjusted EBITDA is expected to be in the range of $15 million to $19 million.
Clements added, “While our revised guidance reflects the near-term financial impact of acquiring an early-stage technology
platform, we see tremendous opportunity to leverage this strategic addition and deliver significant long-term revenue and EBITDA
growth in the years to come.”
About OneSpan
OneSpan enables financial institutions and other organizations to succeed by making bold advances in their digital
transformation. We do this by establishing trust in people’s identities, the devices they use, and the transactions that shape
their lives. We believe that this is the foundation of enhanced business enablement and growth. More than 10,000 customers,
including over half of the top 100 global banks, rely on OneSpan solutions to protect their most important relationships and
business processes. From digital onboarding to fraud mitigation to workflow management, OneSpan’s unified, open platform reduces
costs, accelerates customer acquisition, and increases customer satisfaction. Learn more about OneSpan at OneSpan.com and on Twitter, LinkedIn and Facebook.
About Dealflo
Dealflo provides end-to-end financial agreement automation services and processes billions of financial transactions annually in
a single service. Dealflo reduces risk and cost, increases conversion and improves user experience by automating the entire
process. Dealflo users are protected by ensuring that all agreements fully comply with the mandated process whether being signed
online, in a retail store or alongside an intermediary. It increases enforceability with the strongest evidence available, meaning
less risk from a legal, compliance and financial perspective. It has operations across North America and EMEA, and is headquartered
in London.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of applicable U.S. Securities laws, including
statements regarding the potential benefits, performance, and functionality of our products and solutions; our expectations,
beliefs, plans, operations and strategies relating to our acquisition of Dealflo; and our expectations regarding our financial
performance in the future. Forward-looking statements may be identified by words such as "seek", "believe", "plan", "estimate",
"anticipate", expect", "intend", and statements that an event or result "may", "will", "should", "could", or "might" occur or be
achieved and any other similar expressions. These forward-looking statements involve risks and uncertainties, as well as
assumptions which, if they do not fully materialize or prove incorrect, could cause our results to differ materially from those
expressed or implied by such forward-looking statements. Factors that could materially affect our business and financial results
include, but are not limited to, market acceptance of our products and solutions and competitors’ offerings, the potential effects
of technological changes, our ability to effectively identify, purchase and integrate acquisitions, the execution of our
transformative strategy on a global scale and the increasing frequency and sophistication of hacking attacks, as well as those
factors set forth in our Form 10K (and other forms) filed with the Securities and Exchange Commission. Our SEC filings and other
important information can be found on the Investor Relations section of our website at ir.vasco.com. We do not have any intent, and
disclaim any obligation, to update the forward-looking information to reflect events that occur, circumstances that exist, or
changes in our expectations after the date of this press release.
Investor contact:
Joe Maxa
Director of Investor Relations
+1-612-247-8592
joe.maxa@onespan.com
Media contact:
Sarah Hanel
Director of Global Corporate Communications
+1-312-871-1729
sarah.hanel@onespan.com
