Tech vendor giant FIS has acquired a majority stake in credit-based alternatives fund solutions provider Virtus Partners, with the aim of rounding-off its capital markets offering.
Virtus Partners providers a range of alternative investment operations outsourcing and administration services exclusively for credit fund managers.
The Houston-based firm also provides a range of front-to-back office services, from deal origination, trading and direct lending to cash management, settlement, fund accounting and NAV calculations.
FIS officially closed the acquisition of a majority interest in the company on 2 January.
“Virtus is a rapidly growing, leading provider of high-value managed services and technology solutions focused on the credit and loan markets. The addition of its credit and loan market offerings helps round out our capital markets portfolio and enables us to connect the full lending value chain across the buy and sell sides,” FIS stated.
Terms of the agreement were not disclosed.
Virtus Partners first launched its credit hedge fund administration service in 2015, where it agreed to use SunGard’s VPM portfolio accounting and reporting solution- which would then go onto become integrated within FIS’s technology suite.
The acquisition is a major boost to FIS’ alternatives fund solutions business, as it looks to become a go-to technology and outsourcing provider not just for administrators but also hedge funds and private equity managers.
In November last year, US fund manager giant Victory Capital adopted FIS’ transfer agency technology for a range of newly acquired fund accounts.