Banking software firm nCino announced the $52.5 million acquisition of another fintech firm, Sandbox Banking.

According to a news release, the purchase "strengthens nCino's ability to enhance data connectivity and streamline operations for banks and credit unions through an industry-leading Integration Platform as a Service (iPaaS) solution for a more intelligent and harmonious technology platform."

The release stated that nCino can leverage Sandbox Banking's technology for an integration hub to help financial institutions simplify digital transformation projects, eliminate redundancies and align data across core and ancillary banking systems. According to the release, the approach enables financial institutions "to rapidly deliver omnichannel experiences for their customers and provides secure, efficient and cost-effective system interoperability without technical bottlenecks."

nCino has closely partnered with Sandbox Banking for years, said Chris Gufford, chief product officer at nCino, in the release. “So we’ve seen first-hand how this technology layer improves transparency, reduces integration friction, accelerates project timelines and creates a hub for better data connectivity."

Gufford stated in the release that banks and credit unions face critical demands for operational efficiency and regulatory compliance. "This acquisition gives nCino a better ability to empower these institutions with a flexible, reliable data environment for greater agility to quickly integrate third party systems, AI and new technologies without disruptions," he said.

The purchase price for Sandbox Banking was $52.5 million in cash, subject to customary adjustments, with an additional earn-out opportunity of up to $10 million based on the achievement of certain financial and product development metrics, the release stated.

Last year, nCino acquired London-based FullCircl, a business-to-business, software as a service (SaaS) platform, for $135 million and South African onboarding software company DocFox for $75 million.

On Feb. 3, nCino announced that it has a new leader: Sean Desmond was appointed president, CEO and a member of the firm's board of directors, replacing Pierre Naudé, who is now executive chairman of the company's board.