Canadian Software Firm Buys Payment Business From Telus

    Article Overview

    Dye & Durham Ltd, a Canadian Software firm, has signed an agreement to purchase Telus Corp., a payments business firm. This is the first deal by the company since their proposed management buyout was forsaken in October.

    As per Bloomberg news, the acquisition of Telus Financial solutions for C$500 million ($391million) will enable Dye & Durham control of the software that handles 140 million bills and tax payments every year. The Toronto-based company is also on the verge of buying another technology that allows banks and lenders to connect with law firms whenever a new mortgage is being created, or an existing one discharged.

    Stocks of Dye & Durham rose to C$39.75 at 9.48 a.m. in Toronto, up by 2.8%.

    The CEO of the company, Matt Proud, said that Dye & Durham plans to use the payment infrastructure of Telus to help channelize money to residential real estate deals. The software is being used to process home sales in Quebec province. The expansion of the technology across the country will reduce paperwork and make real estate transactions more efficient.

    Most mortgage transactions involve plenty of papers and checks made for each transaction and couriered, resulting in risks for potential frauds. Putting together on a single platform will drive the future with a value proposition for the Dye & Durham customers, said Proud in an interview.

    In July 2020, Dye & Durham went public with $7.50 a share and quickly became a standout IPO of Canada as it rose to above $50 by the end of 2020. The company provides databases and software to legal houses to help lawyers complete real estate deals, wills, estates, and corporate filings, among other services.

     Proud and a group of executives proposed to go for private placement at $50.50 a share after the stock declined. However, the largest shareholder, Mawer Investment Management Ltd, opposed this idea, who joined forces with other investors to quash the move. 

    Dye & Durham has come under criticism from some members of the legal profession for imposing the software on home purchase and financing, which lead to price increase in the real estate transaction. The company had informed about 1000 firms in British Columbia that it will raise fees on a particular software by 563% as per a Globe and Mail newspaper report.

    The price increase reflects the efficiency value that Dye & Durham will bring to on law firm’s table. Proud said,” We will continue to invest significantly to improve our customer’s experience and ability to do the job better as this acquisition of Telus demonstrates.”

    Imperial Bank of Commerce is the financial advisor to Dye & Durham on the Telus acquisition, and Goodmans LLP is the legal advisor. 


    RELATED ARTICLES

    Business Cards

    Unlocking the Power of Business Cards: Networking Essentials for Success

      Table of Contents Introduction The Evolution of Business Cards Why Business Cards Still Matter Designing...
    Lab-Grown Diamonds

    The Science Behind Lab-Grown Diamonds: How They’re Made and Why They Shine Bright

    Introduction: Welcome to the dazzling world of lab-grown diamonds, where science meets sparkle! If you've ever...
    IT Providers

    How Do Outsourced IT Providers Fuel Business Growth?

    In an era where technology seamlessly integrates into every facet of a business, maintaining an...
    Workplace Diversity

    Navigating Workplace Diversity: Building Inclusive Teams and Fostering Cultural Understanding

    In today's globalized and interconnected world, workplace diversity has become more than just a buzzword—it's...
    Eyewear Innovations

    Eyewear Innovations: How Eyebuydirect CEO Sunny Jiang Is Leading the Way

    With the increasing use of digital devices and the widespread promotion of eye health, vision,...
    Client Meetings

    Why Schedule Commercial Cleaning Before Client Meetings?

    First impressions hold immense power, especially in the business world. How you and your environment...
    MBA Programme

    Dual Degree MBA Programme: A Unique Educational Opportunity

    In today's world, professional success requires more than traditional management skills. It calls for a...
    women ipl

    Women IPL Sensation Shreyanka Patil: From Fan to Champion

    In a cricketing universe usually ruled by dudes, Shreyanka Patil, the rookie wonder for Royal...
    Monetize Magnet

    Monetize Magnet Review – The Best Crypto and Forex CPA Network

    In today's world, cryptocurrency has reached new heights, expanding continuously and providing online earning opportunities...
    celsius drink

    Celsius Drink – What Is It and How Safe Is It?

    These days, you must come across your social media feeds with an advertisement for a...
    low porosity hair

    Low Porosity Hair Problem? Slay Locks with Moisture Miracle

    Have you ever experienced your hair being stubbornly resistant to moisture? That's low porosity hair...