Fintech Power Move: Brigit's $460 Million Acquisition by Upbound Group

Fintech startup Brigit is close to a deal to be acquired by Upbound Group for $460 million. The acquisition will enhance Upbound's offerings to credit-poor consumers and leverage Brigit's data modeling technology. Both companies have not commented on the deal, which is anticipated to be announced Thursday.

In a notable development within the financial technology sector, Brigit, a fintech startup backed by high-profile investors including Ashton Kutcher and Kevin Durant, is negotiating its sale to Upbound Group. The deal, reportedly worth $460 million, may be finalized and publicly announced as early as Thursday.

Sources familiar with the confidential discussions indicate that the acquisition will involve both cash and stock. The acquisition is expected to bolster Upbound's capabilities in delivering financial services to credit-challenged consumers, while also capitalizing on Brigit's sophisticated data modeling and technology infrastructure.

This strategic move comes against a backdrop of rising inflation and financial pressure on low-income Americans, who are seeing diminished liquid resources. Brigit, since its founding in 2017, has gained a user base of over 7 million through its digital app, offering services like cash advances and credit building.

(With inputs from agencies.)