SoFi Technologies, Inc. Announces the Acquisition of Technisys, Value $1.1bn

SoFi Technologies, Inc. (NASDAQ: SOFI), (“SoFi”), the digital personal finance company, today announced that it has entered into a definitive merger agreement (the “Merger Agreement”) to acquire Technisys the leading digital multi-product core bank platform that is cloud-native and digital,. Technisys’ shareholders will receive aggregate consideration of approximately 84 million shares of SoFi common stock, less than 10% of SoFi’s fully diluted share count as of September 30, 2021, subject to customary adjustments set forth in the Merger Agreement.  Based on the volume-weighted mean price of SoFi stock during the 20-day period ending February 15, 2022, these shares have an aggregate worth of $1.1 billion. Subject to satisfying closing conditions, the transaction is expected close in the second quarter 2022.

“Technisys has built an attractive, fast-growth business with a unique and critical strategic technology that all leading financial services companies will need in order to keep pace with digital innovation. The acquisition of Technisys is an essential building block in delivering on our member-centric, digital one-stop-shop experience for SoFi members and our partners through Galileo, our provider of fintech cloud services,”Anthony Noto is CEO of SoFi. “Under the leadership of co-founder and CEO, Miguel Santos, Technisys has emerged as a proven leader in Gen 3 multi-product banking core technology. We are excited to bring their technology offering under the SoFi Technologies umbrella and deliver it to hundreds of millions of customers worldwide.”

The acquisition of Technisys adds a unique, strategic technology and business for SoFi in pursuing its ambition to provide best-of-breed products as a one-stop-shop financial services platform and for Galileo, in SoFi’s overall pursuit to build the AWS of fintech. This technology stack will be the most complete vertically integrated end-to-end banking technology stack. It includes user interface development capabilities, a customizable multi-product bank core and ledger with integrated processing and card issuing. The combination of Technisys’ platform with Galileo will uniquely support multiple products – including checking, savings, deposits, lending, and credit cards – as well as future products, all surfaced through industry-leading APIs. Galileo & Technisys together are expected to allow the combined company to both meet the growing needs of existing partners as well as service additional established banks, fintech, and non-financial companies looking to enter the financial services market.

The acquisition will boost SoFi’s three-year revenue growth rate and increase its CAGR. Together, the companies can better serve Galileo’s consumer fintech and enterprise partners seeking to add product offerings to their 89 million enabled customer accounts (as of September 30, 2021) across the U.S., Mexico and Colombia, and Technisys’ more than 60 established bank, fintech, and non-financial brands in Latin America and the U.S. while expanding both companies’ partner bases in the U.S. and an addressable market across 16 countries.  At high incremental margins, the estimated incremental revenue from this acquisition includes Technisys’ base revenue and the revenue synergies created by the vertically integrated capabilities.

SoFi plans to take advantage of this new technology stack to save significant amounts on third-party costs. Technisys integration is another way to do so.  SoFi expects to be able innovate faster, make more decisions quickly, and provide greater personalization to its three million members once it has switched from multiple third-party cores. SoFi projects that this change and the vertical integration of Galileo will result in savings of $75 to $85 millions over 2023-2025, and $60 to $70 million each year thereafter.

“We are thrilled to bring Technisys’ technology, customer base, and expertise to the larger SoFi Technologies platform,” Miguel Santos is the CEO of Technisys. “We are confident that together, we can offer a best-in-class financial experience for traditional and non-traditional financial services players alike at a greater velocity than ever before.”

Technisys’ revenue growth is accelerating and is on track to deliver approximately $70 million in revenue for calendar-year 2021 on an unaudited IFRS basis. SoFi will receive a midteens internal rate (IRR) for the acquisition on a standalone basis until 2025. This includes significant upside when taking into account anticipated revenue and cost synergies.

Technisys will operate as an independent subsidiary under SoFi Technologies, Inc., and as part of the Technology Platform. Miguel Santos will continue to be the CEO.

Transaction Conference Call & Investor Presentation
SoFi management will host an announcement conference call on Tuesday, February 22nd, 2022 at 8 a.m. Eastern Time to discuss the transaction.  Register for the conference call by clicking the link below:

A presentation outlining the proposed transaction is also available on both SoFi’s Investor Relations website,, and Technisys’ Corporate website at

Q4 Results & 2022 Outlook
SoFi will release its fourth quarter results and fiscal year 2021 financial results as announced January 24, 2022. These results will be posted on its Investor Relations section. after the close to the financial markets on Tuesday March 1, 2022, a conference call will be held at 5 PM Eastern Time. Management will continue to communicate its financial guidance for the fourth and full-year of 2021. SoFi will release financial guidance for 2022 as part of its communications of March 1 regarding the fourth quarter and full year 2021 financial results. It includes the estimated impact on recent developments such as the proposed acquisition by Technisys and the impact of SoFi Bank opening. SoFi also plans to communicate financial guidance for 2022 which incorporates the estimated effect of recent developments, including the proposed acquisition Technisys and the extension of federal student loan payments moratoriums that were scheduled to run from January 31, 2022 through May 1, 2022.


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