Magazine article American Banker

UCCEL Wins Praise for Narrowing Focus to Financial Software

Magazine article American Banker

UCCEL Wins Praise for Narrowing Focus to Financial Software

Article excerpt

UCCEL Wins Praise For Narrowing Focus To Financial Software

NEW YORK -- An industry consultant has lauded UCCEL Corp. for changing itself from a diffused company in many segments of the information services and software field into a well-focused specialist in financial software systems.

Bernard Goldstein, partner in Broadview Associates, a consulting firm in mergers and acquisitions in information services and software, said this week that USSEL's six acquisitions in 1985 were more than any other company in the industry. Automatic Data Processing Inc. and Computer Task Group Inc. had five each.

But Mr. Goldstein pointed out that the Dallas-based UCCEL at the same time had a number of divestments as part of its strategic plan to become a purely banking software house. Formerly University Computing Co., UCCEL started out as a timesharing service in 1963 and adopted its present name in June 1984.

In a talk to the 13th annual financial forum of ADAPSO, the Association of Data Processing Service Organizations, Mr. Goldstein compared UCCEL and Informatics General Corp., Woodland Hills, Calif., a similar firm. He said both at one time were widely diversified in software, data processing and other services.

"UCCEL effectively engaged in a program of metamorphosis into a software company," he said. "Informatics did not, and that led to its takeover by Sterling."

Sterling Software Inc., Dallas, took over Informatics in August 1985 in what Mr. Goldstein said was the first unfriendly acquisition in the industry.

In an interview following his talk, Mr. Goldstein explained that UCCEL decided that its diversified operations were diffusing the attention of management and exposing the company to risk. So it undertook strategic divestitures, getting rid of some processing lines, a European turnkey system company, a British scientific company, and a U. …

Search by... Author
Show... All Results Primary Sources Peer-reviewed

Oops!

An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.