Linkage: Fintech Dealmaking Edition
FINTECH FUNDRAISING, CYCLE MATURING
- Brace raises $10m Series A from Point72 Ventures to disrupt mortgage servicing - an archaic but giant segment (businesswire.com)
- Digital bank Chime now has 8 million customers and is worth $5.8 billion(bloomberg.com)
- Digital bank Revolut raises $500m at $5.5 billion valuation - here's the playbook from here(sifted.eu)
- How Digital bank Monzo will go from 3.8 to 5.5 million customers(reuters.com)
- Every stat you need to know about the state of fintech VC funding right now - CB Insights (thebasispoint.com)
- The Top 250 Fintech Startups: Where Are They Now? (cbinsights.com)
- Is fintech cycle at a tipping point as VC funding peaks? (businessinsider.com)
- Morgan Stanley eTrade deal Ignites Banking Takeover Buzz(bloomberg.com)
- Mom & Pop fueled by free trading trend spurred by fintech/bank competition (bloomberg.com)
- The 3 Eras of Techy Real Estate Brokerage Giant Compass (mikedp.com)
- The Zillow Revenue Growth Fallacy(mikedp.com)
- HouseCanary raises $65 million series C round to create instant homeownership dashboard (finance.yahoo.com)
- PropTech startup stat round up(gcaglobal.com)
OLD SCHOOL & NEW SCHOOL BANK PROGRESS
- The Great Rebundling of Financial Services(medium.com)
- Banks, fintech startups clash over 'the new oil' — your data(politico.com)
- Fintech has finally cracked the banking sector(qz.com)
- FDIC Approval Moves Varo to Final Stage of Bank Charter Journey(prnewswire.com)
- Varo moves closer to being first fintech to become a bank(wsj.com)
- The humbling of Goldman Sachs(ft.com)
- Uniting Goldman Sachs & Wells Fargo would create something like JP Morgan Chase(economist.com)
- Goldman Sachs is close to a deal with Amazon to offer loans to e-commerce giant's merchants(cnbc.com)
VISA/PLAID, MORGAN STANLEY/ETRADE, LENDINGCLUB/RADIUS, CREDIT KARMA/INTUIT
- Consumer Privacy Big Winner In Credit Karma $7.1b Sale To Intuit(thebasispoint.com)
- 4 Ways Credit Karma Deal Could Pay off For Intuit(americanbanker.com)
- LendingClub buys Radius Bank for $185 million in first fintech takeover of a regulated US bank(cnbc.com)
- OG fintech LendingClub Plans to Become a Bank With $185 Million Radius Buy(bloomberg.com)
- Lending Club Deal could spur more bank mergers(americanbanker.com)
- Why LendingClub is buying a bank(bizjournals.com)
- What the E*Trade Deal Tells You About the New Investing Game(wsj.com)
- Why Morgan Stanley Wants To Buy ETrade(economist.com)
- Morgan Stanley is paying $2,500 per customer for E-Trade(marketwatch.com)
- Goldman Sachs decided to pass on E-Trade before Morgan Stanley snatched it up(cnbc.com)
- Morgan Stanley Trades Trading for E*Trade(bloomberg.com)
- Morgan Stanley Goes Deeper Into Retail Banking with eTrade Deal(americanbanker.com)
- What's Visa going to do with Plaid?(forbes.com)
- Visa makes play for fintech plumbing with Plaid deal(fortune.com)
- The seeds of Visa’s $5.3 billion acquisition of Plaid were planted more than a year ago(qz.com)
There’s been so much deal activity this year and it’s only been 2 months, so below is a big roundup of the key deal activity so far. Also below are key trends in the unbundling and rebundling of financial services.
Hope this helps, and I’ll certainly continue to cover the deals with more deep dives like this and this and this.
Please let me know if you have dealmaking thoughts, themes, and ideas.
For example, what will big banks do? JP Morgan Chase is the big dog on on the hunt for deals while Goldman and Wells are looking a little flatfooted. What deals should Goldman and Wells Fargo do? Or do a deal together?
And which maturing fintechs are next? Plaid competitor Finicity is a great company and would make a great addition to many bigger institutions.
Also is Revolut really worth $5.5 billion, now that it’s one of Europe’s most highly valued startups? Or is it way more, and one of the big banks will buy it? I know HSBC just laid off tens of thousands, but does that mean there’s room for acquisitions, or is that just another distraction?
And what about Varo getting their bank charter? This is still perhaps the biggest news of 2020.
Lots more ideas in the links below.