Enova Announces Definitive Agreement to Acquire Grasshopper Bank

Core Viewpoint - Enova International, Inc. has announced a definitive agreement to acquire Grasshopper Bancorp, Inc. for approximately $369 million in a cash and stock transaction, aiming to create a more diversified financial services provider by combining Enova's online lending capabilities with Grasshopper's digital banking infrastructure [1][6]. Company Overview - Enova is a leading financial services company utilizing machine learning and analytics, having provided over $65 billion in loans to more than 13 million customers over 20 years [11]. - Grasshopper is a full-service digital bank founded in 2019, with total assets exceeding $1.4 billion as of September 30, 2025, offering various financial solutions including Banking-as-a-Service (BaaS) and consumer banking [2][12]. Transaction Details - The acquisition is valued at approximately $369 million, to be paid in cash and newly issued Enova shares, subject to stockholder and regulatory approvals, and is expected to close in the second half of 2026 [6]. - The transaction is projected to generate adjusted earnings per share (EPS) accretion of over 15% in the first year and more than 25% once synergies are fully realized [6]. Strategic Benefits - The merger aims to enhance Enova's ability to provide a comprehensive suite of financial solutions, expand its market reach, and improve balance sheet strength through diversified funding opportunities [4][7]. - The combined entity is expected to increase financial inclusion by leveraging technology to serve a broader range of customers with transparent lending and banking services [7]. Leadership Changes - Following the acquisition, Mike Butler will serve as President of Grasshopper Bank, while Steve Cunningham will assume the role of Enova CEO effective January 1, 2026 [8].