Systematics Incorporated was a data processing company acquired in 1968 by Arkansas superinvestor Jackson T. Stephens.
Smiley recognized a niche that could be filled for medium-sized banks in this space, and sought funding to start his own company.
Through Jon Jacoby, Smiley was introduced to the Stephens family, who agreed to invest $400,000 in Walter and Systematics in return for 80% equity stake.
"In the data processing business," according to Walter, "it’s real easy to get yourself in a position where you’ve got to sell for tomorrow for the sake of today.
"[1] Walter quietly expanded his business over the next 12 years, eventually finding a way to license its software to banks, and ultimately going public.