CSI, a provider of end-to-end financial software and technology, has acquired Qolo, a fintech company offering treasury solutions and payments infrastructure. The financial terms of the transaction were not disclosed.
The acquisition is expected to strengthen CSI’s commercial banking platform by adding technology that supports flexible deposit structures, real-time account visibility, multi-rail payments, and expanded commercial card programs. It will also broaden CSI’s presence among fintech companies and business-to-business payments providers.
CSI said the combination will help community financial institutions offer modern commercial banking services that have traditionally been more accessible to larger banks. These services are increasingly important as businesses seek faster payments, real-time cash-flow information, and financial tools embedded directly into their everyday operating systems.
According to research cited by CSI from Datos Insights, 85% of small and midsized businesses would choose their primary financial institution over a fintech company or larger bank when comparable capabilities are available. CSI believes the acquisition will help community banks capitalize on that preference by improving their ability to attract, retain, and expand commercial relationships.
Qolo’s platform will add three primary areas of functionality to CSI’s commercial banking offering. Its real-time account ledger provides immediate visibility into balances, transactions, and authorizations. Its multi-rail payment orchestration technology enables domestic and international money movement across multiple payment methods and business workflows. And its card infrastructure supports integrated issuing and processing for debit, prepaid, virtual, and secured corporate credit card programs.
The Qolo platform is expected to function as an orchestration layer connecting payments, accounts, and financial workflows. CSI plans to integrate the technology with its core banking platform, digital banking products, and broader application programming interface capabilities.
This integration is intended to provide community financial institutions with prepackaged and pre-integrated commercial banking solutions, reducing the need to work with multiple disconnected technology vendors. It could also help banks introduce new financial products more quickly without replacing their existing core systems.
Qolo also serves fintech companies and B2B payments providers that use its infrastructure for card issuing, virtual account management, embedded ledgers, and money movement across multiple payment rails. Following the acquisition, those customers will gain access to CSI’s scale, compliance capabilities, industry experience, and resources for continued product investment.
CSI said the transaction creates a stronger foundation for embedded finance, an area in which banking and payments capabilities are incorporated directly into software platforms and business workflows. The companies aim to improve the connections among community banks, fintech providers, technology companies, and the businesses they serve.
The acquisition also supports CSI’s broader vertical banking strategy. CSI plans to help community banks deliver integrated commercial banking offerings tailored to industries with specialized deposit, payment, reporting, and workflow requirements.
Support: D.A. Davidson & Co. served as Qolo’s exclusive strategic and financial advisor on the transaction. Cooley served as Qolo’s legal counsel.
KEY QUOTES:
“Community financial institutions are built on trusted relationships, local expertise, and deep knowledge of their markets. But businesses in their communities also need sophisticated banking capabilities that simplify and fit more naturally into their day-to-day financial operations. With Qolo, CSI is helping community banks bring those capabilities to market in ways that help them grow commercial relationships and become more central to how businesses operate. At the same time, it expands our ability to support fintechs and B2B payments providers as demand grows for financial services embedded directly into everyday business workflows.”
Nancy Langer, President and CEO of CSI
“The line between traditional banking and embedded finance is becoming increasingly blurred. Whether you’re a community bank modernizing your commercial offering or a fintech building embedded finance products, you’re often running into the same challenges: fragmented vendors, disconnected payment rails and manual workarounds that limit growth. By joining CSI, we can invest more deeply in the infrastructure that powers modern financial experiences and help our customers become a more seamless part of how businesses manage and move money every day.”
Patricia Montesi, Co-Founder and CEO of Qolo
