NextGen.Net, an Australian technology service provider to the lending industry, has acquired Frollo, a provider of financial management and open banking solutions.
Financial terms of the deal were not disclosed by the parties.
Frollo is a Sydney-based fintech company, which has developed a consumer app and a SaaS Integration Platform for helping in the financial wellbeing of its customers.
NextGen.Net said that the acquisition of Frollo will help the two firms lead the way in the new open banking environment in Australia.
Furthermore, the addition of Frollo’s complementary technology and teams will bolster its existing solutions and enhance lending experiences using open banking, said NextGen.Net.
Frollo CEO and founder Gareth Gumbley said: “Open Banking is the game-changer, giving consumers control of their data and how it is used. We are thrilled to now be part of the NextGen family, there is a huge potential for growth.
“We’re excited to explore the opportunities for our technology in lending services alongside NextGen.Net, and leverage learnings as we continue to support our FinTech and banking partners to get ahead in Open Banking.”
The Sydney-based fintech company is expected to leverage the experience and resources of NextGen.Net while offering open banking technology for the latter’s platform to reduce the cost of responsible lending and improve ‘time to yes’.
It is also the first fintech company in Australia to become an accredited data recipient (ADR) under the open banking regulations of the Australian Competition and Consumer Commission (ACCC). The company is credited to become the first to go live with access to the data from the new Consumer Data Right (CDR) system earlier this month.
The first access is said to enable the fintech company to help conventional banks, challenger banks, other financial technology providers, lenders, and employers stay ahead of the competition with its B2B and open banking solutions.
NextGen.Net CEO comments on the acquisition of Frollo
NextGen.Net CEO and founder Adrian Macleod said: “Frollo recognised the potential of CDR early on, had a clear vision and demonstrated a singular purpose in building that vision. They are the Australian market leader in Open Banking and the Frollo platform is by far the most advanced, particularly in its use of Artificial Intelligence (AI).”
