What was mysterious, until today, was the mood of the S1 board for growing the business instead of cashing out. Today’s rejection of the ACI offer answers that question. Now, it will be up to the S1 and Fundtech teams to execute well. Mergers are delicate operations, often over-promising and under-delivering on expectations. The minimal overlap between the two firms suggests that this merger has a better chance than others of success. No doubt that dynamic factored into ACI’s thinking when it made the offer for S1.
“The S1 Board gave careful consideration to each of the proposed terms and conditions of ACI’s proposal. In the end, the Board determined that ACI’s proposal is not in the best interests of S1 and its stockholders. We believe that continuing to execute on our long-term business plan, which includes the business combination with Fundtech, will best help us maximize stockholder value and achieve our strategic goals,” stated John W. Spiegel, Chairman of the Board of Directors of S1.
