November 08, 2010
Portico Capital Securities announced today that it served as the exclusive financial adviser to ALI Solutions (“ALI”) on the sale of its Austin Logistics’ Risk Analytics business to Early Warning Services (“EWS”). As noted below, this carefully structured transaction enables ALI to enhance its industry leading capabilities in collections analytics and decisioning, as well as establish a formal alliance with EWS to provide ALI customer outreach solutions to “EWS-enabled” financial institutions.
Below are more details from the Company's press release:
November 8, 2010 Scottsdale, AZ and Austin, TX – Early Warning Services (“Early Warning”), a leader in fraud prevention and risk management announced today that it acquired Austin Logistics’ Risk Analytics business from ALI Solutions™, Inc, ("ALI"), a leading provider of Intelligent Decision Automation (“IDA”) solutions. The sale will significantly enhance the strength and capabilities of Early Warning by providing it with one of the most sophisticated combinations of risk solutions and analytic modeling personnel in the financial services sector. As part of the transaction, Early Warning entered into an alliance agreement with ALI (formerly Austin Logistics) to enhance their customer outreach solutions to be ‘Early Warning enabled’ for financial institutions.
Specifically, Early Warning acquires license rights to use the Vincio™ decisioning platform, assumes ALI’s modeling and consulting team focused on fraud and risk analytics and, acquires products from ALI’s ActionOptimizer™ Suite that provide risk and fraud assessments for new accounts and predictive analytics to identify high-risk or fraudulent payments.
“ALI Solutions has built a strong reputation as a leader in predictive analytics over the last 19 years,” said Paul Finch, President and CEO, Early Warning Services. “And because our customers have demanded a higher degree of predictive decisioning solutions, this transaction will enable us to increase our ability to deliver high-value risk and fraud prevention products over the coming years. As we expand our expertise into new markets and industries such as credit card and other credit-related businesses, this acquisition will create new growth opportunities for Early Warning.”
This transaction enables ALI to enhance its collections analytics and software business which includes its advanced contact optimization software (CallTech™), dynamic campaign management solution (OnQ™), industry leading intelligent decisioning technology (Vincio™), and contacts and collections analytics. ALI will remain focused on helping credit grantors improve the effectiveness of today’s consumer collections efforts, a market ALI has been effectively serving since 1991.
Tom Miller, President and CEO of ALI, said, “We are pleased Early Warning highly values what we have built over the past two decades. Today’s high delinquency rates have sharpened demand for our core capabilities -- intelligent decision automation solutions to consumer collections operations that improve their understanding of whom to contact, when to contact them and which contact channel to utilize. I am excited about our opportunity to focus on our roots, solidify our lead in this space, and expand into new verticals and other areas of outbound customer contact and proactive outreach.”
Portico Capital Securities LLC served as financial advisor to ALI Solutions on this transaction.
About Early Warning Services
Early Warning Services is a recognized leader in fraud prevention and risk management and is owned by four of the country's largest and most respected banks. Those institutions — as well as hundreds of other financial services organizations across the country — exchange information and knowledge to obtain a single view of fraud activity across the enterprise and manage fraud on a cross-institution basis. Early Warning facilitates this secure exchange between these organizations and offers solutions for responding quickly to evolving fraud challenges. For more information, please visit www.earlywarning.com.
About ALI Solutions, Inc.
ALI Solutions ("ALI") provides best-in-class collections analytic applications that empower consumer financial services organizations to maximize agent productivity by integrating the three pillars of intelligent decision automation – advanced contact analytics, automated decisioning, and dynamic campaign management. ALI’s solutions increase the effectiveness of the call center by dynamically executing collections policies that solve immediate business problems while easily adapting to future industry challenges. For over 19 years many of the world’s most successful companies throughout North America, the United Kingdom and the Asia Pacific region continue to choose ALI because its applications are proven to help businesses mitigate losses while delivering millions of dollars in bottom line benefit. For more information, please visit www.ALIsolutions.com.
About Portico Capital Securities, LLC
Established in 2000, Portico Capital Securities is the leading merchant bank with an exclusive focus on the Information and Business Services industry. Portico provides M&A and private capital financing advisory services to the leading private and public growth companies in this Industry. For more information about Portico Capital’s services, transactions, and experience, please visit http://www.porticocapital.com or contact one of the senior members of Portico noted below.
Richard R.S. Northrop, Managing Partner
Tony Seto, Vice President