(WSJ) SoFi Technologies Inc. is eyeing an all-stock $1.1 billion acquisition deal for banking-software maker Technisys SA.
Once done, the deal is expected to give SoFi control over its core banking platform, as well as the back-end technology.
SoFi is expected to use Technisys’s platform for the rollout of personalized financial services to its banking customers. The platform will also be used by other lenders and fintech firms.
SoFi projects about $800 million in additional revenue from Technisys deal through 2025. The deal is also projected to lead to $85 million cost savings.
The acquisition comes when SoFi aims to become a one-stop financial shop. The deal is equivalent to around 10% of the market value of SoFi.
SoFi stock has fallen by 28% this year, following a rout in high-growth tech stocks on the prospects of rate hikes.
SOFI: NASDAQ is down -3.16% on premarket.
