Banking Tech Internet-First Banking Platforms sector
Strategic acquirers, private equity (buyout funds and growth funds) firms, and valuation benchmarks for Banking Tech Internet-First Banking Platforms
1.1 - About Banking Tech Internet-First Banking Platforms sector
Companies in the Banking Tech Internet-First Banking Platforms category build digital-only banking services that deliver mobile-first accounts, payments, and credit without branch infrastructure. They provide rapid onboarding, FDIC-equivalent deposit protections via partner banks, transparent pricing, and automation for everyday money management. These neobanks and challenger platforms serve consumers and businesses with streamlined cash flow, card programs, and savings tools that improve accessibility, speed, and control.
Typical capabilities include mobile checking and high-yield savings, business cash management with multi-IBAN support, charge cards and secured credit-builder cards that avoid personal guarantees, spend controls and role-based permissions, instant SEPA and SWIFT transfers, overdraft protection and cash access through retail networks, cashback and merchant offers, and embedded onboarding/KYC, bill pay, and integrations. Many pair FDIC-insured program banks with modern card issuing, enabling real-time balances, transaction categorization, and automated reconciliation.
They primarily serve consumers and gig workers seeking simple, affordable banking, along with startups and small-to-medium businesses needing modern cash management. Outcomes include faster account opening and onboarding, improved cash flow visibility, stronger spend governance through team cards and limits, and access to credit-building or working-capital solutions without traditional collateral. Buyers gain lower fees, richer rewards, and digital rails for domestic and cross‑border payments.
2. Buyers in the Banking Tech Internet-First Banking Platforms sector
2.1 Top strategic acquirers of Banking Tech Internet-First Banking Platforms companies
Chime
- Description: Provider of fee-free mobile banking services that partners with Stride Bank and The Bancorp Bank to offer checking, savings, debit cards, peer-to-peer payments, early paycheck access, fee-free overdraft and an interest-free secured credit card without monthly service or minimum balance requirements.
- Key Products:
- Chime+: Free premium membership for direct-deposit members delivering 3.75% APY savings, custom cashback Chime Deals
- SpotMe overdraft coverage and priority support for simplified money management
- Chime Credit Builder Visa Credit Card: Secured card usable from account opening that builds credit on everyday purchases, provides FICO tracking and tips, and has users averaging 30-point score increases with on-time payments
- MyPay: Feature letting members access portions of their paycheck between pay periods, providing early wage access to smooth cash-flow without fees
- Instant Loans: Three-month installment loans up to $500 for pre-approved direct-deposit members, offering fixed interest notably below typical industry rates for short-term funding needs.
- Rationale: Provider of Chime+ premium membership with 3.75% APY, SpotMe overdraft coverage, and MyPay early wage access for fluid cash flow.
- Company type: Private company
- Employees: ●●●●●
- Total funding raised: $●●●m
- Backers: ●●●●●●●●●●
- Acquisitions: ●●
2.2 - Strategic buyer groups for Banking Tech Internet-First Banking Platforms sector
M&A buyer group 1: Banking as a Service
Cross River
- Type: N/A
- Employees: ●●●●●
- Description: Provider of technology infrastructure for financial services, leveraging a proprietary real-time banking core to deliver embedded payments, card issuance and lending solutions for consumers and businesses, enabling fintechs and technology companies to build scalable, compliant financial products that advance global financial inclusion.
- Key Products:
- ACH Payment Connectivity: Provides direct connection to the automated clearing house (ACH) network, enabling businesses to initiate seamless electronic funds transfers and streamline B2B payments with faster settlement and improved cash flow
- Positive Pay Check Processing: Offers check processing integrated with positive pay fraud prevention, automatically matching issued checks against presented items to reduce fraud risk while maintaining efficient paper payment workflows
- Push-to-Card Disbursements: Enables push-to-card capability that routes funds directly to prepaid debit cards, giving businesses rapid, convenient disbursement options and immediate access to funds for recipients
- Embedded Financial Infrastructure: Supplies secure, compliant embedded financial solutions, integrating payment services into partner platforms to empower SMBs with flexible, scalable financial capabilities without building banking systems in-house.
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●● companies3. Investors and private equity firms in Banking Tech Internet-First Banking Platforms sector
3.1 - Buyout funds in the Banking Tech Internet-First Banking Platforms sector
2.2 - Strategic buyer groups for Banking Tech Internet-First Banking Platforms sector
4 - Top valuation comps for Banking Tech Internet-First Banking Platforms companies
4.2 - Public trading comparable groups for Banking Tech Internet-First Banking Platforms sector
Valuation benchmark group 1: Payments and Transaction Technology Companies
Adyen
- Enterprise value: $●●●m
- Market Cap: $●●●m
- EV/Revenue: ●.●x
- EV/EBITDA: ●●.●x
- Description: Provider of a technology platform that facilitates frictionless payments for merchants across channels and geographies, offering services to accept e-commerce, mobile, and point-of-sale payments using various methods including credit cards, debit cards, and real-time bank transfers.
- Key Products:
- Payment Gateway: Integrated platform that accepts and processes point-of-sale and e-commerce payments
- Fraud Detection: Solutions that use machine learning to safeguard transactions
- Local Acquiring: Services to optimize transaction approvals by acquiring payments locally
- MarketPay: Service for marketplace platforms handling payouts and compliance
- Payouts: Services to transfer funds to accounts outside of Adyen.