BofA Sells E-payment Network to Bottomline
Bank of America (BofA) and Bottomline Technologies have partnered to advance the growth of BofA’s electronic network for payment and invoice automation.
Bottomline will acquire BofA’s PayMode product, operations and vendor network. The two companies are entering into a multi-year agreement to operate and enhance this software-as-a-service (SaaS) offering. In addition to continuing to market PayMode to new clients, BofA will retain existing PayMode client relationships and join Bottomline’s Strategic Advisory Council (SAC). The bank will also have an equity interest in the company via warrants for one million Bottomline shares.
Under this agreement, BofA and Bottomline will deliver next generation solutions for integrated payables automation, enabling businesses to capitalise on a shared vision for automated business-to-business (B2B) electronic invoice (e-invoice) and payment processing and remittance data delivery.
“PayMode remains an important part of Bank of America’s electronic payments suite of solutions,” said Dub Newman, global product management executive for BofA. “This deal ensures clients will receive the same high level of service they expect from the PayMode service into the future. After a thorough evaluation, we concluded that working with Bottomline will accelerate the growth and capability of PayMode and enable us to quickly deliver an even more compelling offering to our clients. We selected Bottomline due to its deep domain expertise, focus on financial supply chain technology and impressive order-to-pay solution set. Combining forces, we will provide even greater value to our clients.”