Overview of Transaction

• On December 12, 2024, Upbound Group (NASDAQ: UPBD) announced that it has entered into a definitive agreement to acquire Brigit for a total consideration of $460 million
• The transaction is comprised of (1) $325 million payable at closing, 75% in cash and 25% in Upbound shares; (2) $75 million in deferred cash consideration over two years; and (3) an earnout of up to $60 million in cash
• Founded in 2017, Brigit is a holistic financial health app that has helped millions of Americans budget better, get earned wages early, build credit through savings, protect themselves from identity theft, and find ways to earn and save money
• Brigit is among the fastest growing and most capital efficient FinTech companies ever, reaching $100 million in ARR within 5 years with under 100 employees at the time
• Built on proprietary artificial intelligence and machine learning-powered cash flow data insights, Brigit’s core product is its direct-to-consumer Instant Cash advance product (earned wage access or EWA)
• Upbound Group is a technology and data-driven leader in accessible and inclusive financial products that address the evolving needs and aspirations of underserved consumers
• Upbound’s customer-facing operating units include industry-leading brands such as Rent-A-Center and Acima that facilitate consumer transactions across a wide range of store-based and digital retail channels

Significance of Transaction

• This transaction is a logical next step reflecting Upbound’s strategic focus on expanding its technology-driven financial solutions for consumers who are underserved by the traditional financial system
• Brigit’s sophisticated tech stack is expected to enhance Upbound’s brands by improving risk management and fraud prevention, enabling more customer approvals while also mitigating losses and enhancing account management

FT Partners' Role

• FT Partners served as the exclusive financial and strategic advisor to Brigit
• FT Partners previously advised Acima on its $1.65 billion sale to Rent-A-Center, which subsequently rebranded as Upbound Group, in December 2020
• This transaction underscores FT Partners’ position as the leading advisor to consumer FinTech companies