Some Fintechs May Have to Sell to Survive

Forbes shares the current reality which is that some fintechs will have to sell in order to survive; OnDeck is one company that has struggled shortly after their IPO; in Q1 2020 the company posted $59 million in losses on $111 million in revenue; their share price is now below one dollar and at least one investor is calling for firing of CEO Noah Breslow and other board members; according to one source Evercore has been enlisted to shop OnDeck around to potential buyers in a fire sale; the current reality is a stark contrast to the beginning of the year when we saw some of the biggest deals ever of fintech with Plaid being purchased by Visa and Credit Karma being purchased by Intuit; there was also the SoFI-Galileo deal; recently Motif announced that they were selling their intellectual property to Charles Schwab; this Forbes article shares more on the current market and even includes a list of companies that might be worthy targets for acquisitions. Forbes

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