SoFi Technologies, Inc. completed the acquisition of Technisys S.A. from Riverwood Capital Management L.P.
March 02, 2022
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SoFi Technologies, Inc. (NasdaqGS:SOFI) entered into a definitive merger agreement to acquire Technisys S.A. for approximately $960 million on February 19, 2022. Under the terms of agreement, Technisys' shareholders will receive aggregate consideration of approximately 84 million shares of SoFi common stock, less than 10% of SoFi's fully diluted share count as of September 30, 2021, subject to customary adjustments set forth in the Merger Agreement. These shares have an aggregate value of approximately $1.1 billion based on the volume weighted average price of SoFi common stock for the 20-trading day period ended February 15, 2022. Following the closing of the acquisition, Technisys is expected to operate as an independent subsidiary of SoFi Technologies, Inc. and be part of its Technology Platform offering, with Miguel Santos continuing as Chief Executive Officer.
The transaction is subject to the satisfaction of closing conditions and is expected to close by the second quarter of 2022. The acquisition will also add to the high revenue growth rate of SoFi and accelerate its three-year revenue CAGR and the acquisition is also expected to deliver to SoFi a mid-teens internal rate of return (IRR) on a standalone basis through 2025, with significant upside in the IRR when accounting for anticipated revenue and cost synergies. Allen & Company LLC served as financial advisor and Wachtell, Lipton, Rosen & Katz acted as legal advisor to SoFi. Gunderson Dettmer Stough Villeneuve Franklin & Hachigian, LLP acted as legal advisor to Technisys. PJT Partners LP acted as a financial advisor to SoFi Technologies, Inc. Citigroup Inc. acted as financial advisor to SoFi Technologies, Inc.
SoFi Technologies, Inc. (NasdaqGS:SOFI) completed the acquisition of Technisys S.A. from Riverwood Capital Management L.P. on March 3, 2022.
SoFi Technologies, Inc. is a provider of financial services. The Company, through its lending and financial services products, allows members to borrow, save, spend, invest, and protect their money. It operates through three segments: Lending, Technology Platform and Financial Services. The Lending Segment offers personal loans, student loans, home loans and related servicing. Its platform supports the full transaction lifecycle, including credit application, underwriting, approval, funding, and servicing. The Technology Platform segment provide technology platform services through a diversified suite of offerings which include an event and authorization platform accessed via application programming interfaces, a cloud-native digital and core banking platform and services related to both platforms. The Financial Services segment include SoFi Money, SoFi Invest, and other services, including SoFi Credit Card, Lantern Credit, SoFi Relay, SoFi Protect, and SoFi Travel.