Stock Monitor: DST Systems Post Earnings Reporting

LONDON, UK / ACCESSWIRE / January 16, 2018 / Active-Investors.com has just released a free research report on SS&C Technologies Holdings, Inc. (NASDAQ: SSNC) ("SSNC"). If you want access to this report all you need to do is sign up now by clicking the following link www.active-investors.com/registration-sg/?symbol=SSNC as the Company's latest news hit the wire. On January 11, 2018, the Company announced that it has signed a definitive agreement to acquire DST Systems, Inc. (NYSE: DST) ("DST"). The all-cash transaction has an enterprise value of approximately $5.4 billion, including debt. The amalgamation of both companies is expected to create a leading global player in the software enabled services sector. Register today and get access to over 1,000 Free Research Reports by joining our site below:

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Active-Investors.com is focused on giving you timely information and the inside line on companies that matter to you. This morning, SS&C Technologies and DST Systems most recent news is on our radar and our team decided to put out fantastic reports on these companies that are now available for free below:

www.active-investors.com/registration-sg/?symbol=SSNC

www.active-investors.com/registration-sg/?symbol=DST

Commenting on the acquisition of DST, Bill Stone, Chairman and CEO of SSNC, said:

"The combination of SS&C and DST is an exciting opportunity and will continue to deliver solutions, globally. We will, together, continue to build on the relationship since we acquired DST Global Solutions in 2014...... The combination will position us to capitalize on the demand for outsourcing in financial services and better enable our clients to address increasing competitive and regulatory pressures."

Steve Hooley, Chairman, President, and CEO of DST, added:

"We are pleased to enter into this agreement with SS&C, which benefits DST shareholders and supports the continued success of our clients. SS&C has a rich history of delivering best-in-class technology that complements DST's existing solutions, and, as part of SS&C, we will be able to advance our extensive, multi-year strategic transformation."

Key Highlights of the Deal

As per terms of the agreement signed between SSNC and DST, SSNC has offered to pay $84 per in cash for each DST share. SSNC has also agreed to assume debts of DST. The Boards of Directors of both companies have approved the deal. The transaction is expected to close in Q3 2018 and is subject to receiving shareholders and regulatory approvals and other closing conditions.

SSNC plans to finance the deal including DST's debts using a mix of debt and equity.

About the Acquiree - DST Systems

Kansas City, Missouri-based DST is a leading provider of specialized technology, strategic advisory, and business operations outsourcing to the financial and healthcare industries. The Company offers its solutions to the clients across asset management, brokerage, retirement and healthcare segments using its unique blend of industry knowledge, research, technical expertise and service excellence. DST helps companies master complexity in the world's most demanding industries to ensure they continually stay ahead of and capitalize on ever-changing customer, business and regulatory requirements. DST has a global team of over 14,400 employees. The pro-forma revenue of the Company for the 12 months ending on September 30, 2017, was $2.3 billion.

Benefits and Rationale behind the acquisition

The acquisition is in-line with SSNC's business strategy of growing via strategic acquisitions. The acquisition of DST allows SSNC to expand its scale of operations significantly. The merged entity is expected to have over 13,000 clients and a combined pro-forma revenue of over $3.9 billion. With this deal, SSNC will be able to expand into the $25 trillion US retirement and wealth management markets as well as add over 110+ million investor positions across DST's client-base. The deal brings SS&C's market leading software platform for institutional and alternative asset managers to the field of wealth management account servicing thereby increasing automation and efficiency in this segment. The deal will enhance SSNC's cybersecurity and privacy protection by leveraging DST's infrastructure. It will also enhance SSNC's transfer agency and investor services footprint.

The deal is expected to result in annual run-rate cost savings of over $150 million by FY20. SSNC expects the deal to be immediately accretive to its adjusted EPS, before synergies and expects to result in mid-teens earnings growth in FY19. The consolidated EBITDA of the merged entity for the 12 months period ending on September 30, 2017, is expected to be approximately $1.3 billion, including synergies.

About SS&C Technologies Holdings, Inc.

Windsor, Connecticut headquartered SSNC was founded in 1986 and is a global provider of investment and financial software-enabled services and software for the global financial services industry. Nearly 11,000 financial services organizations, from the world's largest institutions to local firms, use SSNC's products and services to manage and account for their investments. The Company has created the most comprehensive powerhouse of software technology in the financial services industry which can be used across fund administration, insurance and pension funds, and asset and wealth management accounting and operations. SSNC has a global presence via its network of offices across, US, Canada, Europe, Asia, and Australia

Stock Performance Snapshot

January 12, 2018 - At Friday's closing bell, SS&C Technologies' stock declined 1.73%, ending the trading session at $49.47.

Volume traded for the day: 4.85 million shares, which was above the 3-month average volume of 1.10 million shares.

Stock performance in the last month ? up 19.15%; previous three-month period ? up 20.45%; past twelve-month period ? up 57.40%; and year-to-date - up 22.21%

After last Friday's close, SS&C Technologies' market cap was at $10.09 billion.

Price to Earnings (P/E) ratio was at 47.16.

The stock has a dividend yield of 0.57%.

The stock is part of the Technology sector, categorized under the Business Software & Services industry. This sector was up 0.5% at the end of the session.

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