Power Finance, a cloud-native credit card management program management platform, has agreed to be acquired by Marqeta, the publicly-traded card issuing platform. The purchase price for the business is $223M in cash with another $52M as cash contingent on hitting specified milestones. “Companies like ours were made possible because of the path Marqeta blazed in modern card issuing, demonstrating the possibilities in payments with flexible and modern payment infrastructure,” remarked Randy Fernando, cofounder and CEO at Power Finance. “At Power, we built a full-stack, cloud-native credit card issuance platform, and by becoming a part of Marqeta we have the ability now to bring this innovation to a much larger market at global scale.”
Companies like ours were made possible because of the path Marqeta blazed in modern card issuing, demonstrating the possibilities in payments with flexible and modern payment infrastructure. At Power, we built a full-stack, cloud-native credit card issuance platform, and by becoming a part of Marqeta we have the ability now to bring this innovation to a much larger market at global scale.
Founded by Fernando and Andrew Dust in 2021, Power Finance had raised a total of $16.1M in reported total equity funding with another $300M in debt financing. Backers of the company include Plug and Play, CRV, Anthemis Group, Fin Capital, Restive, Dash Fund, and Amy Nauiokas. Marqeta went public in June of 2021 and currently trades at a $3.51B market cap; the stock was not significantly impacted by the news of this acquisition.
“We’re thrilled to welcome the Power team and product to Marqeta. We already see considerable demand for differentiated credit products from companies looking to innovate in this space who are held back by the constraints of legacy technology,” remarked Simon Khalaf, incoming CEO at Marqeta. “We thoroughly examined possible acquisitions to more quickly establish Marqeta’s leadership in the modern credit space. It became clear to us that Power would strengthen Marqeta’s platform with a best-in-class tech stack for credit card program management.”
We’re thrilled to welcome the Power team and product to Marqeta. We already see considerable demand for differentiated credit products from companies looking to innovate in this space who are held back by the constraints of legacy technology. We thoroughly examined possible acquisitions to more quickly establish Marqeta’s leadership in the modern credit space. It became clear to us that Power would strengthen Marqeta’s platform with a best-in-class tech stack for credit card program management. – Simon Khalaf
