FIS is shaking up the corporate banking scene by bringing open banking tech, long familiar to retail customers, into the complex world of corporate treasuries. With its purchase of Dragonfly Financial Technologies, the financial services giant hopes to speed up digital transformation for banks beyond the big players.
From Retail to Corporate: The Open Banking Shift
Open banking, a concept once mostly aimed at retail banking, is now stepping into corporate banking thanks to FIS’s latest move. The company snapped up Dragonfly Financial Technologies in November 2024, aiming to apply the slick, digital-first services seen in consumer banking to the often clunky and fragmented corporate treasury operations.
Dragonfly, once part of ACI Worldwide and spun off by One Equity Partners in 2022, is known for its expertise in open banking solutions. While the exact price tag of the acquisition remains under wraps, the move clearly signals FIS’s push to broaden its footprint beyond retail banking and deepen its ties with corporate clients.
Andrew Murray, who leads FIS’s international banking and payments team in Singapore, highlights the core challenge they want to tackle: smaller banks, especially tier-2 and tier-3 institutions, have struggled to scale their businesses and support corporate customers efficiently. “Dragonfly lets us do so,” Murray said in an interview with DigFin. Basically, this acquisition gives FIS a leg up in servicing smaller banks that have been overlooked in the race for digital transformation.
A Broader Strategy for Growth and Innovation
This deal is just one part of FIS’s aggressive expansion plan. CEO Stephanie Ferris revealed in a February 2025 earnings call that the company had already made five acquisitions in the past year, including Dragonfly and Demica, a UK-based supply chain finance software provider.
Ferris emphasized the strategic nature of these moves: “We are expanding our reach with strategic M&A,” she told analysts. The goal is to tap into emerging demands from banking and capital markets customers, particularly the CFOs and finance teams at corporate clients who want better tools and more seamless services.
These acquisitions aim to give FIS a broader arsenal to serve not just banks but the corporate treasuries and finance departments that depend on them. As businesses increasingly demand real-time visibility, faster payments, and integrated financial data, companies like FIS are racing to provide those capabilities.
How Dragonfly Changes the Game for Smaller Banks
Smaller banks often find themselves stuck with outdated tech and limited resources to overhaul their digital offerings. That’s where Dragonfly’s platform comes in.
The technology enables open banking features — like instant payments, API integrations, and better cash flow insights — that are usually the domain of big banks and fintech disruptors. By plugging these into corporate treasury functions, banks can offer their clients smoother, faster financial operations.
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Real-time cash flow data
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Instant payment processing
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Easier integration with corporate ERP systems
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Enhanced compliance and fraud detection
Such features can be a lifeline for smaller banks trying to keep pace with big industry players.
Andrew Murray pointed out that this acquisition is a game-changer for banks outside the top tier. “It’s about leveling the playing field,” he said, adding that smaller banks now have a scalable, sophisticated solution to serve their corporate clients better.
What This Means for Corporate Treasuries and CFOs
For corporate treasuries and CFO offices, the benefits are tangible. These departments juggle payments, cash management, and risk control daily. Open banking’s data sharing and connectivity can simplify these tasks, cutting down manual processes and errors.
Real-time insights into cash positions mean better decision-making. Faster payments boost operational efficiency. And better fraud protection helps safeguard large transactions. In short, Dragonfly’s tech promises to take some of the headaches out of corporate treasury work.
However, this shift isn’t without challenges. Legacy systems, regulatory hurdles, and varied adoption rates across banks can slow things down. Still, the trend toward digital transformation in corporate finance is unstoppable, and companies like FIS are making sure they’re at the forefront.
| Feature | Benefit for Banks and Corporate Clients |
|---|---|
| Instant payments | Speedy transaction processing, reducing delays |
| API-based integrations | Seamless connection between banks and corporate systems |
| Real-time cash flow tracking | Better liquidity management and forecasting |
| Enhanced security measures | Stronger fraud prevention and compliance |
Small banks now have access to tools that were once out of reach, while corporate treasuries gain smarter ways to handle their finances.
What’s Next for FIS and the Banking Sector?
With its recent acquisitions, FIS is betting big on the future of digital banking. The focus on tier-2 and tier-3 banks shows an understanding that not all players move at the same speed — and that those in the middle market are hungry for better solutions.
CEO Stephanie Ferris’s comment about strategic M&A highlights the company’s commitment to growth and innovation. As corporate clients increasingly expect retail-level digital experiences, the pressure mounts on banks and their tech providers to deliver.
Will Dragonfly and the other acquisitions be enough to disrupt the corporate banking status quo? Only time will tell. But one thing’s clear: the race to digitize corporate finance is heating up, and FIS wants a front-row seat.
