MINNEAPOLIS -

This week, Wolters Kluwer Governance, Risk & Compliance completed divestment of its indirect loan origination solutions, including the AppOne platform, to Reynolds and Reynolds.

The development finalizes an agreement officials said included €32 million in cash through a deal initially announced on Sept. 8. At that time, Wolters Kluwer explained its divestment is in line with the division’s strategy to focus its financial services group of businesses on growing its compliance content and expert solutions for banks and other financial institutions globally.

The company’s AppOne indirect loan origination platform, compliance documents and risk mitigation services are used primarily by automotive, marine, powersports and recreational vehicle dealers across the U.S. to facilitate interaction with finance companies.

Wolters Kluwer expects to report a €13 million book gain, net of tax, on the divestment. Reynolds anticipates extending offers of employment to 36 Wolters Kluwer employees as part of the transaction.

“As a leader in automotive dealership solutions, Reynolds and Reynolds is well-positioned to continue to support the unique needs of indirect loan origination customers,” said Richard Flynn, chief executive officer of Wolters Kluwer’s Governance, Risk & Compliance division.

“Wolters Kluwer will continue to invest in our core regulatory compliance business which serves thousands of banks, credit unions, and mortgage lenders globally,” Flynn continued.

Steven Meirink, executive vice president and general manager of the Compliance Solutions business unit for Wolters Kluwer’s Governance, Risk & Compliance division, added, “At the same time, we remain committed to providing these banks and other licensed lenders with our proven regulatory expertise, solutions and services for their mortgage, consumer and commercial lending as well as investment and insurance businesses.”

Jerry Kirwan, senior vice president and general manager of Reynolds Document Services at Reynolds, elaborated on what the move means for that company.

“We continually look for ways to grow our business,” Kirwan said. “Reynolds already offers an extensive documents product portfolio, along with well-known expertise in business forms compliance for dealerships.

“By acquiring these additional documents, software and services business, Reynolds will be able to serve an even broader set of markets and customers even more effectively,” he went on to say.