Mastercard / Finicity 2020
Mastercard acquired Finicity for $825M on June 23, 2020.
- Target
- Finicity
- Acquirer
- Mastercard
- Deal value
- $825M
- Deal type
- Cash
- Announced
- June 23, 2020
- Sub-sector
- Regtech
Transaction overview
- Mastercard announced the acquisition of Finicity on June 23, 2020 for $825M.
- The transaction is structured as Cash.
- The deal closed on November 19, 2020.
Why it matters
- Mastercard's existing open banking services in Europe connected to more than 1,800 financial institutions at the time of the deal.
- The acquisition was framed as extending Finicity's reach to serve consumers, banks, merchants, fintechs, and governments as a single data and payments partner.
Strategic rationale
Mastercard buys North American open-banking platform with bank data access across 95 percent of US deposit accounts, anchoring its open finance strategy.
Deal terms & multiples
About Finicity
Finicity provides financial data APIs, credit decisioning tools, and financial wellness solutions. The company launched its first financial product in 2000 and is headquartered in Salt Lake City, Utah. At the time of the acquisition, it had approximately 500 employees worldwide. Finicity's technology underpinned products such as Experian Boost and Rocket Mortgage by Quicken Loans, giving lenders access to consumer-permissioned financial data. The company had partnerships with financial institutions and fintech providers and was recognized by API World as Finance API of the Year.
- HQ
- United States
- Employees
- 500
- Key metric
- Approximately 500 employees worldwide
Frequently asked questions
How much did Mastercard pay for Finicity?
Mastercard paid $825 million in cash. Finicity shareholders could also receive up to $160 million more if performance targets are met.
When did the Mastercard Finicity deal close?
The deal closed on November 19, 2020. It was announced on June 23, 2020.
What does Finicity do?
Finicity provides financial data APIs, credit decisioning tools, and financial wellness solutions. Its technology powered products including Experian Boost and Rocket Mortgage by Quicken Loans.
Why did Mastercard acquire Finicity?
Mastercard acquired Finicity to expand its open banking platform in North America and other geographies. The deal added Finicity's data connections and credit decisioning tools to Mastercard's existing payments infrastructure.
Where is Finicity headquartered?
Finicity is headquartered in Salt Lake City, Utah.
How many employees did Finicity have at the time of the acquisition?
Finicity had approximately 500 employees worldwide at the time of the deal.
Sources
- mastercard.com /news/press/press-releases/2020/june/mastercard-to-acquire-finicity-to-advance-open-banking-strategy/