Jack Henry & Associates has made headlines with its recent acquisition of Victor Technologies, a company known for its innovative, cloud-native, and API-first solutions in the embedded payments sector. The acquisition was completed with Victor being acquired from MVB Financial.
This strategic deal significantly supports Jack Henry’s capabilities in the fast-growing Payments-as-a-Service (PaaS) market. In this market, financial institutions can seamlessly incorporate payment services into third-party, non-bank brands, allowing them to extend their service offerings.
By bringing Victor into the fold, Jack Henry is set to provide its financial institution clients with more robust tools to serve fintech companies and commercial customers. This enhancement is expected to help clients grow their deposits and diversify their revenue streams.
Victor Technologies was established in 2021 by MVB Bank, which is one of Jack Henry’s core clients. Victor is already integrated with Jack Henry’s SilverLake core banking system and JHA PayCenter™, making the transition smoother for Jack Henry’s clientele. Looking ahead, the company plans to enhance Victor’s offerings further, expanding its capabilities to service clients using the Symitar credit union platform and its Treasury Management solutions, while also integrating with the new cloud-native Jack Henry Platform.
One of Victor’s standout features is its real-time payment processing and virtual ledger functionality. These tools enable financial institutions to serve both fintechs and commercial clients across various payment types and market segments. Currently, Victor offers a range of services, including disbursements, receivables, cross-border transactions, escrow services, title services, and e-commerce solutions, as well as support for virtual accounts and digital wallets.
Victor’s direct integration with Jack Henry’s banking core enables financial institutions to gain greater control and visibility over their transactions. This capability allows for near real-time reconciliation, significantly reducing the risk of overdrafts and errors. Additionally, it delivers a reliable single source of truth for monitoring money movement and ensuring compliance with regulatory requirements.
While specific terms of the transaction have not been disclosed, Jack Henry expects that this acquisition will have minimal adverse effects on its Generally Accepted Accounting Principles (GAAP) earnings per share (EPS) for the remainder of fiscal 2026 and fiscal 2027, with the expectation that it will become accretive by fiscal 2028. This outlook underscores Jack Henry’s confidence in the strategic value of integrating Victor Technologies into its portfolio.
KEY QUOTES:
“This acquisition advances our technology modernization strategy to help banks and credit unions compete and win through innovative, cloud-native solutions. Offering a proven, high-volume embedded payments platform that is highly scalable creates diverse revenue streams, enhances our capabilities, and provides more immediate opportunities to deliver emerging services like stablecoin.”
Jack Henry President and CEO Greg Adelson
“We’ve had a strong relationship with Jack Henry since our inception and are excited to join forces to expand the reach of our integrated, embedded payments platform. With rapid innovation in areas like stablecoin, RTP/FedNow, and AI-driven commerce, speed and scalability are critical. Being part of Jack Henry will enable us to build on our successful growth and work together to accelerate the development of next-generation payment solutions.”
Victor President Maf Sonko
