Cognizant client Oma Savings Bank terminates core banking project contract

Bengaluru: Cognizant client Oma Savings Bank Plc (OmaSp), the largest savings bank in Finland by assets, has announced that the companies have mutually agreed to cancel the project and terminate a contract for renewal of the core banking platform commenced in 2019.

As part of the agreement, Cognizant will pay OmaSp a significant financial compensation, which will have a positive impact of approximately €22 million on the lender's profit before taxes for the financial year 2021, the company said in a filing to the stock exchange.

“Negotiations with Cognizant have taken place in good spirits and we concluded that the termination of the cooperation agreement for the core banking project is the best solution for OmaSp. Samlink will continue as an essential IT services provider for OmaSp," CEO Pasi Sydänlammi said in the statement. "The cancellation of the project will have no impact on our customers' banking services and we will continue to develop our digital services in a determined manner."


Oma Sp was among the three Finnish financial institutions that Cognizant had in January 2019 selected to be a strategic partner for building and operating a shared core banking platform to enable their digital transformation plans.