Fintech lender Enova acquires digital bank to scale US loans

Alternative lender Enova International has acquired US digital bank Grasshopper Bancorp in a $369m (£276m) deal that it says will expand its capabilities for consumer and small business online lending.

Chicago-based Enova, which has issued more than $65bn in loans, said the tie-up will combine its online lending platform with Grasshopper’s digital banking infrastructure, allowing it to roll out more centralised and scalable lending products across a wider footprint in the US.

Grasshopper, founded in 2019, holds more than $1.4bn in assets and around $3bn in deposits. The bank focuses on commercial and consumer clients and offers fintech-oriented services, including Banking-as-a-Service (BaaS).

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“Acquiring and partnering with Grasshopper creates a powerful digital bank that positions us to offer a more comprehensive suite of financial solutions across more states,” said David Fisher, Enova’s chair and chief executive.

Under the agreement, Enova will acquire Grasshopper for $369m to be paid in a combination of cash and newly issued Enova shares.

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“We’re thrilled to join forces with Enova, a market leader in digital lending and a true innovator in the use of technology and analytics in the financial services sector,” said Mike Butler, Grasshopper’s chief executive. “This combination of enhanced digital lending and banking will enable us to serve an even broader set of customers while expanding and strengthening the product offerings for our current clients.”

The deal is expected to complete in the second half of 2026, subject to regulatory approvals.

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