This archive report was first published on 14 January 2020.
On January 14, 2020, Visa announced the acquisition of fintech firm Plaid for $5.3 billion, marking a significant move in the financial technology space.
Plaid's technology connects applications with users' bank accounts, allowing customers to use these apps and services to plan their spending, increase their savings, and monitor their investments.
According to Visa Chairman and CEO Al Kelly, the acquisition will position the company to deliver even more value for developers, financial institutions, and consumers.
"The acquisition, combined with our many fintech efforts already underway, will position Visa to deliver even more value for developers, financial institutions and consumers."
Reuters reports that Visa expects the deal to close in the next three to six months, with the deal expected to improve the company's adjusted earnings per share at the end of the third year.
Plaid, a fintech company that has raised a total of $310 million from investors, including Spark Capital, Google Ventures, and Goldman Sachs, has a valuation of $2.65 billion following its last funding round in December 2018.
