Liechtenstein's LLB and LGT have entered a technological cooperation agreement in Austria – and Switzerland's largest banking-software provider is part of the deal.
LLB Group, majority-owned by the Principality of Liechtenstein, has agreed to a cooperation with its cross-town rival LGT as both companies have decided to switch their Austrian branches onto the Avaloq core banking software. Switching the branch to Avaloq will generate potential for synergies and expansion within LLB, the company said in a statement today.
Liechtensteinische Landesbank (LLB) has been using the Avaloq banking software since 2011 and only its Austrian subsidiary retained a separate software solution. The unit will switch to Avaloq by 2019.
Austria: New Market for Avaloq
The LGT branches in Salzburg and Vienna will also switch to Avaloq, allowing the two banks to cooperate on this issue. Avaloq will adapt the software solution to the Austrian tax system and the provisions governing financial reporting. For the Swiss software company, the project opens a new strategic market.
«Avaloq will adjust the core banking solution for the LLB in Vienna as well as the LGT branches in Vienna and Salzburg, thus supplying the very first banks in Austria with the core banking system,» Avaloq CEO Francisco Fernandez was quoted as saying in the release.
