Chime to Buy Stride Bank for $590 Million

American fintech company Chime will acquire Stride Bank for $590 million. As a result of the deal, Chime will obtain a banking license and will be able to expand its lending operations.

Stride has been Chime's partner for more than seven years already. Once the deal closes, the company will consolidate the bulk of its banking operations within Stride and will be less dependent on intermediary banks.

Chime expects the deal to bring more than $100 million in financial benefits. Part of this amount is expected to come from reduced fees paid to partner banks, and part from new lending products and cheaper funding.

The deal is expected to close in the first half of 2027. Chime also raised its third-quarter and full-year revenue and adjusted EBITDA forecasts. The acquisition of Stride will give the company greater control over its financial products as it strengthens its competitive position against traditional banks.

Source: Reuters