Pockit acquires Monese to enhance services for underserved customers

By Gloria Methri

Pockit, a UK-based FinTech focused on providing financial services to underserved consumers, has announced its acquisition of Monese, a pan-European FinTech with a similar customer base. The deal is subject to Change in Control approval by the Financial Conduct Authority (FCA).

The acquisition aims to create a leading FinTech for low to middle-income consumers across the UK and Europe. Pockit and its shareholders, led by Puma Growth Partners, are set to inject up to £15 million in equity capital to support the integration and growth of the combined entity.

The combined group will serve approximately 3 million customers and generate almost £30 million in annualised run-rate revenue. In addition, Pockit will benefit from Monese’s regulatory infrastructure (including e-money and consumer credit licenses) and the operational synergies arising from the two businesses’ closely aligned customer bases, complementary product offerings and geographic footprints.

The transaction will allow Pockit to accelerate the roll-out of new services, such as Monese’s multi-currency accounts, on top of an existing product suite that includes digital accounts, salary advance and credit-building.

Virraj Jatania, CEO and founder of Pockit, said, “This is a transformational acquisition for Pockit. It immediately propels us to a size where we can support financial inclusion for a critical mass of people who would otherwise be locked out of mainstream finance. While nothing will change for our 3 million customers in the short term, over time, this deal will result in new products and an enhanced in-app money management experience. We are also delighted to be welcoming the talented Monese team that Norris has built to advance our shared mission of providing essential financial services in an accessible, transparent and affordable way.”

Norris Koppel, CEO and founder of Monese, said, “This new era with Pockit is a fantastic way to build on our success and scale our offering to more customers. It comes at a time when we are approaching profitability. These two businesses have closely aligned customer bases and missions and are highly complementary in terms of products and geographic footprint. We are looking forward to working with Virraj and the wider Pockit team on the next chapter.”