Online lender SoFi has agreed a $1.2 billion cash and stock deal to buy financial services API and payments platform Galileo Financial Technologies.
Salt Lake City-based Galileo provides the API infrastructure layer for some of the world's top fintech startups, including Chime, Robinhood, Monzo, Revolut, Transferwise and Varo.
The firm's APIs are used by these players for everything from opening and verifying new financial accounts, issuing and processing payment cards, and launching new products. It processed over $53 billion of annualised payments volume in March.
SoFi started life as a student loan financing outfit but has been gradually expanding its range of services. In 2017 it bought mobile banking outfit Zenbanx and last year it teamed up with Coinbase as it moved to add the ability to trade cryptocurrencies within the overall SoFi Invest platform.
With Galileo, the lending platform secures a major point of diversification and extends the reach of its products to other Galileo partners.
Upon closing, Galileo will continue to be led by CEO Clay Wilkes as an independent subsidiary of SoFi.
Anthony Noto, CEO, SoFi, says: "While we march forward on our mission to help people achieve financial independence through our own direct efforts, with Galileo, we can enable a broader ecosystem of companies to join us in helping the world achieve financial independence."