Broadridge Enhances Canadian Wealth Management with Kyndryl's Securities Industry Services Acquisition

The global Fintech leader Broadridge Financial Solutions, Inc. (Broadridge), announced on Monday (May 13) that it will acquire Securities Industry Services (SIS), a transaction processing platform for the securities brokerage industry in Canada, from IT infrastructure services provider Kyndryl. This strategic move aims to enhance Broadridge's business presence in the region. Following the divestiture, Kyndryl plans to provide managed services and capabilities to Broadridge related to SIS.

Karin Kirkwood, President of Broadridge Canada, commented: "The partnership with Kyndryl and the acquisition of the SIS business further underscore Broadridge's long-standing commitment to being a leading technology provider to Canadian financial services firms. The combination of the SIS technology business and Kyndryl managed services with our industry-leading Broadridge Wealth Platform will further accelerate our ability to bring innovation to Canada and meet the increasingly complex needs of Canadian firms."

Farhaz Thobani, President of Kyndryl Canada, added: "Broadridge has been a long-standing partner and this latest collaboration is a win-win for our Canadian clients. Broadridge shares our commitment to drive technology innovation at scale, making them the right acquirer for the SIS business and bringing additional innovation to our clients."

SIS solutions offered by Kyndryl encompass clearing and settlement, account record keeping, tax and regulatory reporting, as well as integrated order management activities for Canadian financial services firms. The acquisition is subject to customary closing conditions, including regulatory approvals, and is expected to be completed in the coming months.

The sale of the SIS business is part of Kyndryl's portfolio optimization initiatives, which also includes the acquisition of Skytap, a leading specialized workload services provider. Skytap is recognized for its strong capabilities in transitioning complex workloads to support hyperscaler environments. As per Kyndryl's recent announcement, Skytap's innovative technologies will be integrated with Kyndryl's expertise to help customers accelerate the adoption of advanced analytics, artificial intelligence, and development, security, and operations (DevSecOps) through the utilization of cloud-native services.