FIS set to acquire UK FinTech Demica in $300m deal

By Gloria Methri

US banking and PayTech giant FIS has reportedly signed a $300 million deal to acquire London-based FinTech Demica, several media reports stated on Monday.

Founded in 1992, Demica offers a cloud-based supply chain finance powering the trade finance programme for large trade banks and corporations. The solution integrates with multiple bank payment gateways to automate real-time payments in over 30 countries.

The deal, announced last week, could have significant implications for the supply chain finance (SCF) sector. FIS, a Fortune 500 company, offers more than 500 solutions, processing over $75 billion in transactions globally.

Acquired a decade ago by the JRJ Group, TomsCapital, and 76 West Holdings from the Huber Corporation, Demica has expanded into one of the leading providers of supply chain finance (SCF).

Its platform manages over 52 million open invoices at any point in time, enabling the delivery of large complex programmes across the full spectrum of supply chain finance products, including trade receivables finance and securitisation, payables finance and dynamic discounting.

Demica bolsters FIS’s product portfolio

FIS, which currently serves 95% of global banks and numerous corporations with its treasury, payments, and working capital solutions, has so far lacked a dedicated SCF offering. With the global SCF market valued at approximately $1 trillion—and Demica managing around $40 billion—this acquisition presents a significant opportunity for FIS to scale rapidly and secure a larger portion of the expanding market.

This development follows Demica’s recent announcement that its assets under administration have surpassed $40 billion. The company credits its growth to strategic partnerships with top trade banks, such as HSBC, Credit Agricole, Standard Chartered, ING, BBVA, Lloyds Bank, Afreximbank, and Commercial Bank of Dubai. These collaborations have fueled Demica’s momentum as banks continue to initiate new programs and transfer existing assets onto its platform.