WINNIPEG, MB, CALGARY, AB, and REGINA, SK, July 4, 2024 /CNW/ - Credit Union Central of Manitoba (CUCM), Credit Union Central of Saskatchewan (SaskCentral), and Credit Union Central of Alberta (Alberta Central) have reached a definitive agreement to sell the business of Celero, a leading provider of IT solutions to credit unions and financial institutions across Canada, to CGI (NYSE: GIB) (TSX: GIB.A), a leading global IT and business consulting services firm. This strategic transaction aims to position the Canadian credit union system as a technological innovator in the financial services industry for years to come.

Under the terms of the agreement, CGI will acquire Celero's services and business which includes core banking, digital banking, managed services, integration, and security. The majority of Celero's employee base will also join CGI, who is committed to providing support and resources to ensure a smooth transition for all new employees. 

"CGI is the ideal partner to continue the legacy of outstanding service Celero has established," said Curtis Wennberg, CEO, CUCM and Chair of Celero. "We believe this transaction will provide a great path forward for the credit union system overall as well as for Celero's employees. Combining Celero's expert knowledge of credit unions' needs with CGI's global portfolio of services and solutions will create new opportunities for growth and innovation in the credit union system."

The owners of Celero have been evaluating the most sustainable and scalable ownership structure to support the evolving needs of the credit union system. After a thorough review, the owners agreed that the acquisition of its business by CGI would be a strategic fit, allowing CGI to further develop and expand its services while offering continuity and enhanced capabilities to Celero's clients.

"We believe this agreement is in the best interests of the Canadian credit union system," said Stephen Fitzpatrick, CEO, SaskCentral. "CGI's extensive experience in serving the credit union sector will ensure the ongoing delivery of stable and innovative solutions for our credit unions."

"Celero has been instrumental in delivering technology solutions that support the credit unions' unique needs," said Benjamin Chappell, CEO, Alberta Central. "Together with CGI, we are committed to ensuring continuity of service for Canadian credit unions through the transition."

"We extend a warm welcome to Celero's team and the valued banking expertise each person brings to clients and now to CGI," said Michael Godin, President, Canada operations at CGI. "This acquisition aligns with our strategic goals and enhances our capabilities to best partner with our clients. The addition of Celero's operations will further deepen CGI's presence and positioning across Canada for this important sector which serves hundreds of thousands of Canadians nationwide. This transaction is consistent with our build and buy profitable growth strategy, while acting as a catalyst for future organic growth."

As a result of this transaction, CGI will enhance and expand its services to credit unions. CGI has been serving Canadian credit unions with a range of innovative digital offerings, including core and online banking solutions and professional services for nearly 30 years.

About Celero

Celero is a leading provider of IT solutions to credit unions and financial institutions across Canada. Known for its expertise in core banking services, Celero has been instrumental in delivering technology solutions that support the financial services sector's unique needs for over 20 years. Celero was established as a joint venture among the three Prairie Centrals, to provide core banking and other technology solutions to credit unions.

About CGI

Founded in 1976, CGI is among the largest independent IT and business consulting services firms in the world. With 90,000 consultants and professionals across the globe, CGI delivers an end-to-end portfolio of capabilities, from strategic IT and business consulting to systems integration, managed IT and business process services and intellectual property solutions. CGI works with clients through a local relationship model complemented by a global delivery network that helps clients digitally transform their organizations and accelerate results. CGI Fiscal 2023 reported revenue is C$14.30 billion and CGI shares are listed on the TSX (GIB.A) and the NYSE (GIB). Learn more at cgi.com.

About Credit Union Central of Manitoba (CUCM)

CUCM is the trade association and service provider for Manitoba's credit unions. CUCM advocates on behalf of its members on sector priorities, manages liquidity reserves, monitors credit granting procedures, and provides support in multiple areas including system governance. CUCM also provides services to its members in the areas of treasury, credit adjudication, human resources, compliance, strategic consulting, and more. Manitoba credit unions jointly own CUCM and representatives sit on its board of directors. CUCM is financed through assessments and fee income derived through its operations.

About SaskCentral

SaskCentral is owned by, and is the liquidity manager for, Saskatchewan's credit unions. By aggregating statutory liquidity deposits, SaskCentral facilitates clearing and settlement, provides credit facilities that support daily cash flow management, coordinates emergency liquidity support and provides investment management services. SaskCentral also maintains business relationships with, and investments in, a number of entities on behalf of Saskatchewan credit unions.

About Alberta Central

Alberta Central is the central banking facility and trade association for Alberta's credit unions. Alberta Central offers credit unions in Alberta innovative products and services, thought leadership, research and analytics from The Intelligence Centre, advocacy on priority system issues, lending and liquidity management products, and much more. It also supports building awareness of the credit union difference through the Credit Unions of Alberta brand.

 

SOURCE Canadian Credit Union Association Cooperative

Copyright 2024 Canada NewsWire

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