Publicly traded fintech Enova International (NYSE: ENVA) said today it has agreed to acquire Grasshopper Bancorp and subsidiary Grasshopper Bank in a cash-and-stock deal valued at about $369 million. ENVA stock jumped 11.7% to $157.92 today.

Grasshopper, a digital-first bank founded in 2019, holds more than $1.4 billion in assets and roughly $3 billion in total deposits as of Sept. 30, according to Enova’s release. The New York–based bank focuses on commercial and consumer digital banking, including fintech-oriented banking-as-a-service platforms, API banking, commercial and SBA lending, and consumer products.

Chicago-based Enova is known for its machine-learning-driven online lending. The acquisition will combine its consumer and small-business lending capabilities with Grasshopper’s digital banking infrastructure, according to the release. The companies said the move will create a more diversified financial services provider with expanded product offerings and a broader geographic reach.

“Acquiring and partnering with Grasshopper creates a powerful digital bank that positions us to offer a more comprehensive suite of financial solutions,” Enova Chief Executive David Fisher said in the release.

Enova said the deal is expected to deliver growth opportunities, enhance balance-sheet flexibility, and increase financial inclusion through technology-driven lending and banking services. CFO Steve Cunningham, who becomes Enova’s CEO on Jan. 1, 2026, said the transaction should generate substantial funding synergies and more than 15% adjusted EPS accretion in its first year.

The acquisition, which requires approval from Grasshopper shareholders and federal regulators, is expected to close in the second half of 2026, according to the release. After closing, Grasshopper Bank will operate as Enova’s bank subsidiary, with Butler serving as president and reporting to Cunningham.

Covington & Burling LLP advised Enova, with Keefe, Bruyette & Woods serving as financial advisor. Grasshopper was advised by Squire Patton Boggs (US) LLP, Hogan Lovells US LLP and Piper Sandler.

AI efforts at Grasshopper

Grasshopper CEO Mike Butler said joining Enova will allow the combined organization to serve a “broader set of customers” and strengthen offerings for existing clients.

Existing AI-driven offerings at Grasshopper include: streamlined credit memo writing with AI with fintech EnFi; and AI-driven personalized financial management insights via tech provider Narmi.

The acquisition, which requires approval from Grasshopper shareholders and federal regulators, is expected to close in the second half of 2026, according to the release. After closing, Grasshopper Bank will operate as Enova’s bank subsidiary, with Butler serving as president and reporting to Enova’s Cunningham.

Covington & Burling LLP advised Enova, with Keefe, Bruyette & Woods serving as financial advisor. Grasshopper was advised by Squire Patton Boggs (US) LLP, Hogan Lovells US LLP and Piper Sandler.

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