Marqeta buys fintech Power Finance in $275M allcash deal, its first acquisition

News Summary

  • Specifically, the acquisition will give Marqeta customers a way to launch “a wide range” of credit products and constructs, the company said, by incorporating Power’s data science toolbox and its ability to embed experiences inside existing mobile and web applications into its own offering.
  • The company ended up deciding that Power was the best fit both culturally and technologically.Marqeta, he said, is operating under the premise that consumers increasingly want personalization.“If you look at a credit card, not much innovation has happened to it,” Khalaf told TechCrunch.
  • It’s a perfect match.”Through the acquisition, Khalaf said Marqeta hopes also to meet increasing demand from emerging, mobile-first retailers, creator marketplaces and labor marketplaces.“We’re going to see a lot of new demand around co-brands,” he said.
  • Marqeta has agreed to acquire two-year-old fintech infrastructure startup Power Finance for $223 million in cash, marking the first acquisition in the publicly-traded company’s 13-year history.About one-third of the purchase price is payable over a two-year period subject to certain undisclosed conditions.
  • Presently, Marqeta has nearly 1,000 employees.Generally, Khalaf said that Marqeta has been witnessing hypergrowth but is now moving into a sustainable and profitability phase.“We’re highly focused on sustainable, mature and predictable operating cadences for the company,” he said.
  • So much fintech M&AFintech startup Power flexes its credit card muscle following $316M equity, debt injection
Marqeta has agreed to acquire twoyearold fintech infrastructure startup Power Finance for $223 million in cash, marking the first acquisition in the publiclytraded companys 13year history.About [+7191 chars]