Salary Finance, a London-based startup focused on salary-linked savings and loans for employees, has acquired Goldman Sachs-backed rival Neyber, significantly expanding its reach across UK workforces.
The combined company will now serve 500 clients and reach 3 million employees. The client portfolio includes 15% of the FTSE 100 and many household name employers, such as BT, Dixons Carphone, Virgin Active, Co-op, Asda and public sector organisations including NHS Trusts and Police Forces.
The acquisition was structured as a pre-pack administration, with Neyber assets acquired by Salary Finance and staff transitioned under TUPE. Terms of the transaction were not disclosed.
Police Mutual will join Salary Finance as a new investor as part of the acquisition, alongside Goldman Sachs, which led a £100M capital investment round in Neyber in 2017.
Co-founded by the former head of Google UK and Ireland and backed by Blenheim Chalcot and Legal and General, Salary Finance in April raised $32.8 million and hired SoFi co-founder Dan Macklin for a US expansion.
Asesh Sarkar, Salary Finance CEO, comments: "The Neyber acquisition, and the additional scale that gives us, takes us several steps forward in achieving our mission. We are excited to get to know and work with our new colleagues and clients.”