Exits & Deep Reads

Banc of California joins the PacWest (TWIF 7/30)

Road Trip: 3 Days in Northern Michigan

Hello Fintech Friends,

Well, it finally happened - another (semi?) beleaguered bank took defensive action and merged to avoid a depositor run. This week, California's PacWest Bank ($36B) announced that it will be acquired by its smaller counterpart Banc of California ($9B) and pay down its brokered deposits.

Also this week, we had Nala’s Benjamin Fernandes join our host Helen on Hey Fintech Friends to talk about money-movement and cross-border payments in Tanzania.

Please find another week of fintech exits and deep reads below. (👍👎 Have feedback for us? Let us know!)

☯️ Exits

🤝 M&A - Fintech

ClauseMatch, a SaaS platform for financial regulatory compliance and governance, sold itself to Irish compliance operating model provider Corlytics.
GBST, a provider of SaaS wealth management technology, acquired Advice Intelligence, an end-to-end financial planning software solution.
GSTechnologies, a UK-listed provider of blockchain payments and financial services, acquired PAYPT, a Canadian holder of a license for foreign exchange dealing; cryptoasset dealing; money transfer services. The combined entity will be renamed Angra, with the intention of relaunching it as a B2B neobank.
Per Fortune, fintech Nexio (fka Complete Merchant Solutions), is selling itself. Nexio has forecast $16 million of EBITDA this year, and could sell for $176 million.

🏦 M&A - Bank and FinServ

Banc of California agreed to acquire regional bank PacWest with a $400 million cash infusion from Warburg Pincus and Centerbridge for 19% equity. The combined bank will have $36 billion in assets and an implied enterprise value of $2.1 billion.