Two FinTech companies who say they share a mission of solving finance problems for people will work closely together after a new acquisition deal.
Intuit, the developer behind TurboTax and QuickBooks, has revealed that it is going to acquire Credit Karma, the consumer technology platform with more than 100 million members in the US, Canada and UK, for about $7.1bn.
The purchase price for Credit Karma will be payable in equal portions of cash and Intuit common stock, with the shares of Intuit common stock being valued at approximately $299.73 per share.
Credit Karma had nearly $1bn in unaudited revenue in calendar year 2019, representing a 20% increase from 2018.
“Our mission is to power prosperity around the world with a bold goal of doubling the household savings rate for customers on our platform,” said Sasan Goodarzi, CEO of Intuit. “We wake up every day trying to help consumers make ends meet.
“By joining forces with Credit Karma, we can create a personalised financial assistant that will help consumers find the right financial products, put more money in their pockets and provide insights and advice, enabling them to buy the home they’ve always dreamed about, pay for education and take the vacation they’ve always wanted.”
Kenneth Lin, founder and CEO of Credit Karma, added, “We started Credit Karma with a goal to build a trusted destination for all consumers, to make financial progress regardless of where they are in life. We saw the opportunity to enrich people’s financial lives through transparency, simplicity and certainty.”
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