American digital lender Oportun has entered into a definitive agreement to acquire neo banking platform Digit to expand its artificial intelligence and digital capabilities.

Under the agreement, Oportun will pay approximately $212.9m, which includes $98.5m in equity and $114.4m in cash.

Go deeper with GlobalData

Premium Insights

The gold standard of business intelligence.

Find out more

Founded in 2013, the AI-powered neo banking platform offers automated savings, investing, and banking products.

Digit is expected to expand Oportun’s addressable market while accelerating and diversifying its revenue growth and position.

Additionally, it gives Oportun access to a neo banking solution, which would have taken three to five years to build.

Digit founder and CEO Ethan Bloch will continue to lead the firm, which will operate as a business unit within Oportun.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Oportun CEO Raul Vazquez said: “With this acquisition, we believe we will be able to quickly actualize a bold vision for an AI-driven, digital-first platform that helps members daily when they need to borrow, save, invest, and bank.

“As a combined company, we will redefine what it means to be a neo bank, with outstanding products and service that address the everyday financial needs of hardworking people.”

Bloch said: “The impact we have had on our members is proof that technology can make it easier to live a financially healthy life. Together we will create the leading digital platform, grounded in financial health, to serve all of a hardworking customer’s financial needs: from banking, saving, borrowing, investing, and beyond.”

The deal, which is subject to customary closing conditions, is expected to close by the end of 2021 or early 2022.