AUSTIN, Texas (Dec. 3, 2018)—Q2 Holdings, Inc. (NYSE:QTWO), a leading provider of digital banking and lending solutions, announced today its acquisition of Atlanta-based Gro Solutions, a provider of industry-leading account opening and digital sales and marketing solutions for financial institutions (FIs). The acquisition reflects both companies' ongoing mission of providing best-in-class digital experiences to FIs and the broader financial services industry.
Gro provides a digital sales platform that drives customer acquisition growth across all digital channels. The Gro platform enables customers to make personalized recommendations and cross-sell products—from deposit accounts to loans for both retail and business clients. Gro's solution combines advanced, multichannel account opening with targeted marketing capabilities as well as a shopping cart experience. Account holders can simply add financial products when and how they need them.
“With Q2's recent acquisitions of Cloud Lending and now Gro—combined with our leading, secure digital banking platform—we are delivering powerful solutions for the financial services vertical to provide exceptional experiences needed to keep pace with the high expectations of today's account holder,” said Matt Flake, CEO of Q2. “Our acquisition of Gro adds yet another element that helps our customers reduce user friction, increase engagement in the digital channel and expand their offerings.”
Since its launch and demo at FinovateFall 2015, Gro has defined how FIs leverage the mobile channel to accelerate growth. Also named a "Company to Watch” by American Banker and BAI in 2015, Gro quickly attracted customers and established its solution for omnichannel account opening. The following year, Gro introduced a new back-end portal to help consolidate FIs' underwriting engines. Gro also unveiled Consumer Protection Plus at Money 20/20, a feature that ensures customer involvement and peace of mind in the account opening process. Continuing its growth and innovation in 2017, Gro received one of the first-ever TAG FinTech ADVANCE Awards. This year, Gro's momentum continued, adding new customers and announcing new features to its platform, including business account opening capabilities and the new Quick Start process, which enables customers to launch at their own pace rather than waiting on a vendor.
Gro's addition will provide Q2's customers with advanced, omnichannel account opening capabilities and a configurable sales platform designed to increase conversion and reduce abandonment. FIs that have implemented Gro's mobile-first solutions have seen significant increases in completed applications.
"Q2 is a recognized leader in providing innovative solutions for FIs and other financial technology providers,” said David Eads, CEO of Gro. “As a combined force, we look forward to providing leading account opening, ecommerce and end-to-end digital financial solutions to banks, credit unions and other financial technology companies. We are delighted to be joining the Q2 team and look forward to delivering best-in-class in financial digital sales and marketing solutions.”
Financial terms of the transaction were not disclosed.
For more information about Q2, visit www.q2ebanking.com.
Q2 is a secure, cloud-based digital banking solutions company headquartered in Austin, Texas. Since 2004, it has been our mission to build stronger communities by strengthening their financial institutions. Our digital banking solutions for deposits, money movement, lending, leasing, security and fraud enable financial institutions to deliver a better financial experience to their account holders. Our bank and credit union customers, along with emerging financial services providers, also benefit from actionable data analytics and access to open technology tools. To learn more about Q2, visit www.q2ebanking.com.
Founded in 2015, Gro Solutions provides a digital sales platform to drive account growth for financial institutions across all channels of their business. The Gro Digital Sales Platform features innovative and intuitive software solutions designed to optimize both the financial institution and end user experience for digital sales tasks, such as account opening and loan origination. For more information, visit www.grobanking.com, or follow us on Twitter, @GroBanking.
This press release contains forward-looking statements, including statements about: the ability of GRO's products to boost Q2's cross-selling capabilities and to accelerates digital onboarding; Q2's and Gro's ability to provide best-in-class and leading solutions; the advantages to Q2's customers of adding the Gro solutions; the ability of Q2's and Gro's products to enable customers to improve account acquisition and engagement and to accelerate growth; the ability of Q2 to advance its product offerings together with Gro; and the potential for Q2 and Gro as a combined force. The forward-looking statements contained in this press release are based upon current plans, estimates and expectations and are not a representation that such plans, estimates or expectations will be achieved. Forward-looking statements are subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in or suggested by the forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, the following: (a) risks related to Q2's ability to successfully integrate Gro and its technology and personnel; (b) risks related to the execution of the combined plans, strategies and forecasts, including with respect to account opening, digital sales and marketing capabilities and offerings; (c) risks related to customer demand and market acceptance for these offerings; (d) risks related to Q2's expectations with respect to the business of Gro after completion of the transaction and Q2's ability to realize additional opportunities for growth and innovation; (e) competitive risks in the highly-competitive and innovative financial service and technology industries; (f) risks related to the security and compliance of these solutions; (g) intellectual property and related risks; and (h) other risks and potential factors that could affect our business and financial results identified in Q2's filings with the Securities and Exchange Commission. These filings are available on the SEC Filings section of the Investor Relations section of Q2's website at http://investors.q2ebanking.com/.
These forward-looking statements represent Q2's expectations as of the date of this press release. Subsequent events may cause these expectations to change, and Q2 disclaims any obligations to update or alter these forward-looking statements in the future, whether as a result of new information, future events or otherwise