Intuit to Acquire Digital Insight

Under the terms of the agreement, Intuit will pay $39 per share in cash for each Digital Insight common share. The total purchase price is approximately $1.35 billion on a fully diluted basis.

Together, the companies will serve more than 5,000 financial institutions, nearly 25 million consumers and nearly 7 million small businesses. The acquisition will combine Intuit?s culture of customer-driven innovation and leading brands with Digital Insight?s best-in-class distribution and application service provider model.

"The combination of two industry leaders will put Intuit in an excellent position to bring a new generation of online banking solutions to market in a way that will redefine the way small businesses and consumers manage their financial lives," said Steve Bennett, Intuit president and chief executive officer. "With the acquisition, Intuit will be able to combine work flows in its financial management tools with online banking capability offered by Digital Insight to create new, easier, and better-value offerings for consumers and small businesses."

"Online banking is growing rapidly, but today?s solutions don?t meet the needs of most small businesses and many consumers," said Jeff Stiefler, Digital Insight chairman, president and chief executive officer. "Digital Insight's and Intuit's combined assets and competencies will change the game for small businesses, consumers and the financial institutions that serve them. In addition to the clear business benefit of this proposed acquisition, both companies have already had the opportunity to work closely together to develop the mutual trust and respect that is a critical prerequisite for any business combination to be successful."

Following the closing of the acquisition, Digital Insight's business operations will continue to operate from its existing facilities in California and Georgia. The Digital Insight business operations will establish the foundation for a newly formed financial institutions business division within Intuit, with Stiefler serving as that unit?s president.