Danish banking IT enters its M&A era
The merger becomes the least-worst option for both providers: Sydbank’s BankData roots risked isolating BEC, while AL Sydbank’s new scale could have enabled it to break free and build its own IT infrastructure.
By David McCurdie, VP FinCrime Solutions at spektr
2026 to see merger of Danish data-centre powerhouses BEC and BankData.
Hot on the heels of the Sydbank-Arbejdernes Landsbank (and VestJYSK) merger, the two data centres in an attempt to retain their business with the lazily-devised moniker of AL Sydbank decide on a merger which will see them both keep a slice of the pie and pool their resources to serve Denmark’s now-fifth largest bank.
This merger might be the least worst option for all parties, given that Sydbank as the big brother in the new family is a BankData house, which itself might have seen BEC lose one of its larger members. Worse still might have been that AL Sydbank with its resources might be in a position to break from its ties with the data centres and take place among the elite of Danish banking, with their own IT infrastructure and data choices in this bold new era for the somewhat unlikely pair.
News of the merger will likely have ramifications for employees in both camps, though BEC has been rather busy in recent months after Nykredit’s acquisition of SparNord. Keep an eye on this one - it’s not terribly far-fetched. Indeed, I’d suggest BankData is ready for it, given their work in bringing Handelsbanken’s Danish business over to Jyske Bank in the last year or two.
We love a bit of M&A action, don’t we?
Merry Christmas.
