Enterprise workflow automation software maker Ontario Systems announced Monday (Aug. 23) it had acquired Katabat, a cloud-based debt collection platform.
With the acquisition, Ontario says it is “officially expanding its substantial collections workflow footprint into the $2.5B+ first-party collections market segment — making [it] one of the few technology companies to serve both first- and third-party collections.”
Based in Delaware, Katabat’s platform uses machine learning, a strategy engine and compliance capabilities to help businesses improve their collection rates, improve efficiencies and lower their compliance risks.
Its clients include what it calls “nimble debt collectors as well as internationally-recognized banks and lenders.
“As we grow and evolve as a company, we want to continue identifying smart ways to expand upon the value we bring to both our customers as well as our teams,” Ontario Systems CEO Tim O’Brien said in a news release. “We see the Katabat acquisition as reinforcing our ambitious strategic growth plan by allowing us to serve a more expansive portion of the accounts receivable market.”
“We are incredibly excited to join Ontario,” said Katabat CEO Ray Peloso. “Their decades-long position as the collections industry leader coupled with their established history of helping customers attain bold business outcomes provides the perfect point from which to expand the reach of the innovative work we have been doing at Katabat.”
This is the latest in a series of acquisitions for Ontario Systems, whose platform streamlines the payments and revenue recovery process for clients in the healthcare, government and accounts receivable management markets.
Ontario, which has offices in Indiana, Massachusetts and New Mexico, in February acquired Parity, an artificial intelligence (AI) and machine learning provider for collections teams.
And last May, as reported in this space, Ontario acquired SwervePay to help bolster its electronic payment capabilities.
The deal happened at a time when electronic payments were becoming more and more important for the company’s clients. SwervePay, like Ontario, had clients in the accounts receivable management and healthcare sectors.