Katabat, a leading global provider of debt management software solutions for lenders, fintechs, and collection agencies, announced today that it has acquired Simplicity Collection Software of Idaho Falls, Idaho. The acquisition aligns with and accelerates Katabat's vision to be the dominant provider of debt collection software products for global consumer lenders and third-party agencies. Terms of the transaction were not disclosed.
Simplicity Collection Software has developed SimplicityCollect, a unique debt collection software product designed for small-to-medium sized third-party debt collection agencies, health care providers, law firms and legal recovery. In this market Simplicity has demonstrated significant growth and success since inception in 2010. "We're proud to be the leading debt collection software provider for the markets we serve," said Jon Parker, CEO of Simplicity, "and we're excited to strategically align with Katabat to create full product coverage that will serve both first- and third-party clients."
Katabat is a recognized global leader in cloud-based debt collection managed service software products. Founded by consumer lending experts and with a leading market position with first-party lenders, the Katabat platform helps clients synchronize customer offers, implement customer workflows, and build integrated content and treatments across all customer channels. Powered by machine learning, Katabat's products are easily deployed to enable speed to ROI for its clients, and its products ensure full compliance with policy and regulatory guidance.
"We are delighted to be combining with Simplicity to broaden our reach of debt collection products, very much in response to client feedback and client need," said Ray Peloso, President and CEO of Katabat. "We believe that the combined company, built through deep industry expertise at both Simplicity and Katabat, delivers truly superior offerings in the market." Mr. Peloso added, "With transformational industry change unfolding through economic headwinds, regulatory change and unquestioned changes in consumer mobility, we believe that Katabat now brings an unmatched combination of products to clients seeking to use technology to address industry disruption."
Chris Steiner, Principal at Tritium Partners, commented, "We remain convinced that now more than ever collection organizations of all sizes are looking to bolster their capabilities using modern software, and further that Katabat has created a world-class debt collection platform to address that market demand. Simplicity is a perfect fit with Katabat as clients of both companies will benefit from product and platform synergies in data-driven work-flow management, loan accounting system of record capabilities, advanced analytics, and strong compliance tools."
Alex Western, Managing Director at Terminus Capital Partners, added, "Simplicity is an ideal complement for Katabat, from a customer perspective as well as from a product feature perspective. This merger opens up multiple strategic growth opportunities for the combined company, so we are all so excited for what comes next: working hard to make the most of this opportunity!"
Tritium Partners and Terminus Capital Partners made a strategic growth investment in Katabat in August 2020.