Oracle have announced that they have completed the purchase of Citigroup's interest in banking sotware specialists i-flex, India's largest applications software company. Oracle now owns approximately 43% of i-flex shares.
Software products from i-flex support corporate banking, consumer banking, investment banking, Internet banking, asset management, investor services and insurance. i-flex applications have been optimized for Oracle's technology platform since 1997, with over 90 percent of i-flex customers currently running on Oracle technology.
Oracle clearly hope to revoltionise and consolidate an industry that's still stuck in legacy mode, with a large percentage of the industry running custom or legacy applications which may not be ready for the new regulatory environment created in the wake of the Sarbanes-Oxley Act.
The Sarbanes-Oxley Act of 2002, passed after the corporate scandals of Enron and WorldCom, leaves a heavy burden of responsibility for publicy traded companies to demonstratee that their accounting and financial systems are robust enough to ward off fraud or serious errors."Oracle's investment in i-flex will enable us to deliver unprecedented value to the financial services industry. There is simply no other combination of companies that can provide a more strategic solution to the financial services industry than Oracle and i-flex," said Oracle President, Charles Phillips. "Our strategic relationship includes sales, research and development, service and support."