BBVA Acquires Simple
Simple, the alternative banking company, has been acquired by Banco Bilbao Vizcaya Argentaria (BBVA.)
Online reports put the price at $117 million in cash. Investors put $18.1 million into Simple, officially the Simple Finance Technology Corp., based in Portland, Ore.
Simple had reportedly been on the block for some time.
Simple says it will remain an independent brand within and “operate in parallel” to BBVA Compass Bancshares Inc., the US unit of BBVA, which is based in Spain. Josh Reich, Simple’s CEO, will retain his position. “As part of today’s news, customers’ Simple account information, banking services, and credentials – everything – will remain the same,” according to the company.
Simple claims it has more than 100,000 customers, a 330% year-over-year growth rate, and processed $1.7 billion in transactions last year. Just last week, Simple hinted that it might introduce new lending products.
Founded in 2009 by Josh Reich and CFO Shamir Karkal, Simple has long carried the banner for innovative, low-fee banking services. Here’s the email that got the company started in 2009. (PDF)
BBVA has $820 billion of assets.
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